A health club has two employees who work on lead generation. Each employee works 40 hours...

 

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A health club has two employees who work on lead generation. Each employee works 40 hours a week and is paid $50 an hour. Each employee identifies an average of 600 possible leads a week. Approximately 15 percent of the leads become members and pay a onetime fee of $150. Material costs are $150 per week, and overhead costs are $1,500 per week. Calculate the productivity for this operation in fees generated per dollar of input. (Hint: Pay attention to conversion rate as only leads who become members pay the onetime fee, the revenue for the club) (5 points) A health club has two employees who work on lead generation. Each employee works 40 hours a week and is paid $50 an hour. Each employee identifies an average of 600 possible leads a week. Approximately 15 percent of the leads become members and pay a onetime fee of $150. Material costs are $150 per week, and overhead costs are $1,500 per week. Calculate the productivity for this operation in fees generated per dollar of input. (Hint: Pay attention to conversion rate as only leads who become members pay the onetime fee, the revenue for the club) (5 points)

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