Estimate the value of a loyal customer of a loyal Volvo automobile owner. Assume the contribution margin is 0.27, the purchase price is $64,000, the repurchase frequency is every four years, and the customer defection rate is 26 percent. Do not round intermediate calculations. Round your answer to the nearest dollar
Estimate the value of a loyal customer of a loyal Volvo automobile owner. Assume the contribution margin is 0.27, the purchase price is $64,000, the repurchase frequency is every four years, and the customer defection rate is 26 percent. Do not round intermediate calculations. Round your answer to the nearest dollar
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Estimate the value of a loyal customer of a loyal Volvo automobile owner. Assume the contribution margin is 0.27, the purchase price is $64,000, the repurchase frequency is every four years, and the customer defection rate is 26 percent. Do not round intermediate calculations. Round your answer to the nearest dollar.
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