MovieNet, a competitor to Netin, charges. $12 a mon'r for a subscription. Their variable costs per customer are $4.95. They spend $3.93 per year on marketing per customer. The current athition rate is 4.?96 per month. Their monthly discount rate is 3%. 1. 1What is their retention rate? 2'. What is their CLV? 3. If they increased their marketing spending to $4.1 per customer, what would this CLV be? .1_ Assuming that the your answer for #3 is lower than that for #2, is there any plausible reason why they would want to increase their marketing spending, and thus lower their CLV? 5. Going back to the original numbers, which would generate a better CLV? An increase in price by $1 or a decrease in ath'ih'on rate by H.596