How does target cost-per-acquisition (CPA) bidding determine the optimal cost-per-click (CPC) bid?

Question

Accepted Answer

It uses conversion history to set higher bids when a conversion is more likely

Answer

It sets CPC bids as one-tenth of the current CPA bid setting

Answer

It bids a static CPC value based on the current maximum CPC settings

Answer

It adjusts CPC bids based on existing bid adjustments