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Please help me solve it 1.) Compute the customer lifetime value (CLV) of Customer 222 based on the data below for the first six years
Please help me solve it
1.) Compute the customer lifetime value (CLV) of Customer 222 based on the data below for the first six years of the customer relationship. Costs (C) were incurred to promote customer retention at a rate of 0.8 in years 1 through 6. Initial acquisition cost $2,400 n=number of years retained 6 r= retention rate 0.8 Cost of capital 0.1 Mt=margin from customer in yeart M $1,000 M2 1,200 1,300 M4 1,400 Ms 1,500 M 1,600 C 240 200 200 200 Cs 160 C6 160 M3
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