Using the customer information in problem 1, recalculate the lifetime values using average profit margins of 9 , 11 , and 15 respectively, and a discount rate of 4 percent Answer part b again Has anything changed Data from 1 Avg Annual Sales Avg Profit Margin Expected Lifetime 18 $108,000 Customer ...

No nothing changed relative to problem 1 x the ...

Using the customer information in problem 1, recalculate the lifetime values using average profit margins of 9%,

Question:

Using the customer information in problem 1, recalculate the lifetime values using average profit margins of 9%, 11%, and 15% respectively, and a of 4 percent. Answer part b. again. Has anything changed?

Data from 1

Avg. Annual Sales Avg. Profit Margin Expected Lifetime 18 % $108,000 Customer A: 6 years 22 % 15 years Customer B: $82,0

Discount Rate
Depending upon the context, the discount rate has two different definitions and usages. First, the discount rate refers to the interest rate charged to the commercial banks and other financial institutions for the loans they take from the Federal...