Passing Along the Costs

“Payout Time for the Peacock Network” (Aug. 18) reports that costs of shows like “Seinfeld” and “ER” are escalating, so that “Seinfeld” now costs NBC more than $4 million per episode, and that advertisers are paying more than $1 million per commercial minute.

But where does NBC get the money to pay these rates? Or better yet, where does the advertiser get these sums? The answer is shocking. Built into the unit cost of every tube of toothpaste, can of beans or tank of gas you buy are prorated costs not only for the manufacture of the product but also transportation to market, sales force and, yes, advertising.

Watch for higher prices at the market on products of those companies that advertise in “Seinfeld.”

RICK ROFMAN

Van Nuys