Answer:
$1.54 billion
Explanation:
Geico advertising to sales ratio for last year = advertising/sales = 1.1/15 = 7.3333%
Advertising expense based on projected sales = 21*7.3333% = 1.54 $billion $
and the advertising expense based on industry average = 21*.4% = .084 $billion
The insurer Geico is spending much higher than industry spend on advertising. The correct answer is $1.54 billion .