A wholesaler just secured a contract for $300,000 in gross sales a year to a new client. Assuming the Net Profit Margin averages 20% on every sale by the wholesaler and they now expect to supply this company for 12 years, determine:

• The CLTV of the new client for twelve years using the Easy Method of just calculating future (net) profits. (Hint: Use $60,000 as NET Profit per year)
• The CLTV of the team using the Simple Formula, with a churn of 8%
• The CLTV of the team using the Traditional Formula with an 8% churn and a cost of money (interest rate) of 7% p.a.
• The CLTV of the team using DCF over twelve years at 7% compounded annually, assuming net revenues are what you calculated in part a (use as PMT).