Google AdWords works on a cost-per-click (CPC) or pay-per-click (PPC) system. This means that the costs incurred are a result of how many times your ad has been clicked on. The minimum cost (bid) for each click will vary depending on the efficiency of your ad and how competitive the market is. However, you still have the freedom to choose how much you are willing to pay for each click (accordingly effecting your page ranking) and also how much you’re willing to spend each day by setting a daily budget. Google AdWords appear as “sponsored links” above and to the right of the search results on Google.