1. T-mobile would like to increase spending to acquire customers. Jessica, the head of marketing department, knows that 20% of customers leave company every year based on data and simulation. She does not want to overspend so she decide to acquire customers whose CLV equals or exceeds $5000. If Karly is expected to bring $2000 annual margin, the company should not spend more than ___________________ to acquire her as a new customer.

Assume that the company's discount rate is 20% per year.

Group of answer choices

A. $500

B. $800

C. $1000

D. $1200

E. $1500