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From advertisers's point of view...
It's the price associated with a single click on an ad. Suppose you create an ad and the cost per click associated with that ad is say $2 per click. Then each time if a user ends up clicking on your ad, you wil have to pay that amount at the end. E.g,. 10 clicks then $2 x 10= $20
From Publisher's (who puts the ad on a website/app) point of view:
In case, if you wanna make money using adsense on your blog or website, then search/place those keywords which have a high cpc.
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