Price drop extensions work on both search and product ads.

The selected answer option, False, is correct because price drop extensions do not work on both search and product ads. Price drop extensions are specifically designed to be used with search ads, not product ads. These extensions allow advertisers to highlight a reduction in price directly within their search ad, making it more compelling for potential customers. However, product ads in platforms like Microsoft Advertising or Google Shopping typically do not support price drop extensions, as they automatically display product pricing from the product feed. Therefore, while price drop extensions are effective for search ads, they are not applicable to product ads.