Skinny Foods, Inc. is a meal delivery service that delivers a month's worth of low-fat, low-calorie...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Skinny Foods, Inc. is a meal delivery service that delivers a month's worth of low-fat, low-calorie meals to your door to aid you in your weight loss efforts. Customers can cancel their subscriptions at any time. Skinny Foods charges $324 per month for this service. Variable costs are $175 per customer per month, and per-customer marketing spending amounts to $24 a year. The attrition rate is 9% a month. Calculate the CLV of a customer that Skinny hopes to acquire if the annual discount rate is 15%. 0.00 Currency (US) Skinny Foods, Inc. is a meal delivery service that delivers a month's worth of low-fat, low-calorie meals to your door to aid you in your weight loss efforts. Customers can cancel their subscriptions at any time. Skinny Foods charges $324 per month for this service. Variable costs are $175 per customer per month, and per-customer marketing spending amounts to $24 a year. The attrition rate is 9% a month. Calculate the CLV of a customer that Skinny hopes to acquire if the annual discount rate is 15%. 0.00 Currency (US)
Expert Answer:
Answer rating: 100% (QA)
Retention rate Customer lifetime value Contribution margin x 1 Discount rate Retention rate Contr... View the full answer
Related Book For
Statistics for Business and Economics
ISBN: 978-0132930192
8th edition
Authors: Paul Newbold, William Carlson, Betty Thorne
Posted Date:
Students also viewed these general management questions
-
A delivery service charges a special rate for any package that weighs less than 1 pound. Let x denote the weight of a randomly selected parcel that qualifies for this special rate. The probability...
-
Skinny Company sells 15,000 units at $20 per unit. Variable costs are $18 per unit, and fixed costs are $10,000. Determine (a) The contribution margin ratio, (b) The unit contribution margin , and...
-
A pizza delivery service delivers to a campus dormitory. Delivery times follow a normal distribution with a mean of 20 minutes and a standard deviation of 4 minutes. a. What is the probability that a...
-
A ping pong ball is drawn at random from an urn consisting of balls numbered 4 through 9. A player wins $1.5 if the number on the ball is odd and loses $1.5 if the number is even. Let x be the amount...
-
Define income and expenses and identify some sources of each. How are net cash flows determined?
-
A board 1 m by 1 m that weighs 55 N slides down an inclined ramp with a velocity of 40 cm/s. The board is separated from the ramp by a layer of oil 0.6 mm thick. Neglecting the edge effects of the...
-
Which would be a corrective control? a. Process redesign b. Drug testing c. Using document control numbers d. Job rotation e. Event notifications
-
The accountant of Weatherspoon Shoe Co. has compiled the following information from the companys records as a basis for an income statement for the year ended December 31, 2012. Rent revenue $ 29,000...
-
Hi I need help answer the following question thank you step-by-step please (1) A bond will mature in 15 years. It has a 4% coupon rate and will pay annual coupons. If the bond has a face value of...
-
Match each cell to the specific stage of meiosis or mitosis, the number of chromosomes, and the number of DNA molecules per cell Incorrect. Whereas other images may also be incorrectly matched, you...
-
Sub Company sells all its output at 20 percent above cost to Par Corporation. Par purchases its entire inventory from Sub. The incomes reported by the companies over the past three years are as...
-
Which use of Internet-based communication would NOT be appropriate when e-mailing with families? Sending photos of children playing together Discussing issues or concerns Providing websites for...
-
In Some Country the budget for Defense exceeded the budget For education by $693.6 billion If x is represent for education, In billions of Dollars, How lone the budget for Defense be represented?
-
Showed that the nation wasn't necessarily a politically united nation, and Jeerson's desire for a politically agrarian nation would end with the failure of the Embargo Acts. At this time, England and...
-
What are the key points of the Dodd-Frank act? Generally speaking, what does this legislation seek to do?
-
Anyone who has intended a sport event, concert, festival, or live show, has at some level interacted with scalpers. The people who walk around the entrances to these events claiming to have tickets...
-
2. On March 1, 2023, Sherry Jones established a petty cash fund. The following petty cash transactions occurred during the month: (10 marks) Mar. Sherry established the petty cash fund in the amou...
-
Consider the activities undertaken by a medical clinic in your area. Required 1. Do you consider a job order cost accounting system appropriate for the clinic? 2. Identify as many factors as possible...
-
Previous research has suggested that immigrants in the United States have a stronger interest in good diet compared to the rest of the population. If true, this behavior could result from a desire...
-
It is estimated that the time that a well-known rock band, the Living Ingrates, spends on stage at its concerts follows a normal distribution with a mean of 200 minutes and a standard deviation of 20...
-
Flybynite Airlines has a regularly scheduled flight from Minneapolis to Frankfurt every weekday evening at 6:30. Based on a complex relationship between Flybynite and Bigrain Airlines, a local line...
-
You are to draw up a consolidated balance sheet as at 31 December 2005 from the following: At the balance sheet date, Son 1 owed Pa and Mum 2,500 and Son 2 1,100, and Pa and Mum owed Son 2 2,100. Pa...
-
You are presented with the following information from the Seneley group of companies for the year to 30 September 2006: Additional information: (a) The authorised, issued and fully paid share capital...
-
Prepare a consolidated balance sheet from the following details as at 31 March 2003. At the balance sheet date, Filho B owed Filho A 3,000 and Pops for Filhos owed Filho B 2,000. During the year,...
Study smarter with the SolutionInn App