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Verizon spent $350 to acquire Victoria and expected a $500 annual contribution margin from her so long as she was a customer. The churn rate

Verizon spent $350 to acquire Victoria and expected a $500 annual contribution margin from her so long as she was a customer. The churn rate of customers similar to Victoria is 10% per year. The firms discount rate is 20% per year. Calculate the lifetime value of Victoria.

answer choices

$1,000

$1,150

$1,650

$1,950

$4,550

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