4. Fresh Foods Grocery Mart (FFGM) is considering a "Double Points Weekend", where loyalty members can earn triple the regular number of points towards their loyalty program. On an average weekend, FFGM typically awards 40,000 points to all of its registered members. Because of this deal, they believe they will see an increase of 20% in purchases for loyalty points. It costs FFGM an average of $0.03 per redeemed point. Based on their history, only 25% of the collected points actually get redeemed. To their surprise, rather than an increase of 30% in purchases they actually had an increase of 55%. What is the total cost for this weekend promotion?

a) $390.0

b )$285.0

c) $825.0

d) $930.0

5. You are a member of Starbucks new and improved loyalty program. As a member, you can redeem 250 points to get a free beverage, but there are no restrictions on which beverage you can get. Last year there was $1,179,750 worth of beverage redeemed and this accounted for 325K points. What is the Redemption Cost per Point (RCP)?

a) 0.36

b) $3.63

c) $0.63

d) $3