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An entrepreneur is selling a natural shampoo with conditioner for $19 per bottle. Customers buy an average of 3 bottles per year. The gross margin
An entrepreneur is selling a natural shampoo with conditioner for $19 per bottle. Customers buy an average of 3 bottles per year. The gross margin on this product is 40%. It appears that the entrepreneur is able to retain 82% of her customers from one year to the next. Assuming a discount rate of 5%, what is her lifetime customer value?
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