contestada

AOL bought customers from CD Now for $60 per customer. CD Now’s annual retention rate was 60 percent and customers generated $15 of profit per year. Assuming an annual discount rate of 12 percent, evaluate AOL’s purchase of CD Now customers. Assume profits occur at the end of each period.

Respuesta :

emaduet2012

Answer:

Answer for the question:

AOL bought customers from CD Now for $60 per customer. CD Now’s annual retention rate was 60 percent and customers generated $15 of profit per year. Assuming an annual discount rate of 12 percent, evaluate AOL’s purchase of CD Now customers. Assume profits occur at the end of each period.

Is given in the attachment.

Explanation:

Ver imagen emaduet2012
mkasblog

Answer:

The investment per customer by AOL = $ 60 The $ profits generated per customer = $15 in first year+$15*.60 in second year+$15*.602...

Explanation:

The investment per customer by AOL = $ 60 The $ profits generated per customer = $15 in first year+$15*.60 in second year+$15*.602

Otras preguntas