1. Calculate Customer Lifetime Value (CLV) for a customer at your firm. Detail your assumptions. If you want to do CLV for a customer in another industry, make sure you have enough data and cite your sources for data. If there are issues of data confidentiality or accessibility, you can certainly make up data. But try to be true to your chosen product/industry as much as possible.
   • Make sure you set up the data correctly. You can do any time horizon that makes sense for your customers. If you use a few years then set it up in a table format, or if your horizon is VERY long, you can use the infinite horizon formula.
2. Change your assumptions about retention rate, growth rate, and discounting factor (=interest rate we use for the present value) and see how your CLV from (1) changes. Individually change each of these variables' multiple times, holding everything else constant, so you have at least three points to compare. Create three graphs, one for each variable, comparing how changing the variable impacts CLV (the total CLV, not the annual values). The variable you're changing should be on the X-axis, and CLV on the Y-axis. Label the graph "CLV as a function of (the variable you're changing)" and include the values of the variables that were held constant (e.g., g = 1%). Explain the changes in the results and what they mean for your company (don't describe the graphs technically, but give some insights for the company).