Chapter 02 Excel Activity: VLC X sestion 1 10 int Assume that a customer in the small contractor target market segment buys an electric drill on average every five years (or every 0.2 year) for $150, when the gross margin on the drill averages 50 percent. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. AZ HHHH Open spreadsheet Questions 1. What is the value of a loyal customer (VLC) Ir the customer retention rate is 20 percent? Round your answer to the nearest cent. 2. What is the value of a loval customer (VLC) if the customer retention rate increases to a percent Round your answer to the nearest cent $ 3. What is a percent change in market share worth to the manufacturer if it represents 50.000 customers? Round your answers to the nearest dollar 20 percent customer retention rate cases A-Z 2. What is the value of a loyal customer (VLC) if the customer retention rate increases to 80 percent Round your answer to the nearest cent. $ 3. What is a 1 percent change in market share worth to the manufacturer in represents 50,000 customers? Hound your answers to the nearest dollar 20 percent customer retention rate case: $ Bo percent customer retention rate case: 4. What do you conclude? if customer retention can be increased from 20 to 30 percent through better value chain performance, the economic payoff is doubled quadrupled Check My Work Resel Problem Nad Ekck O 47F Mouy cloudy EM File Hone incent Draw Page Linyout Formulas Data Review Ver Editing Comments Arial 10 BOA ** 0 Number 13 x C F 0 H M Value of a Loyal Customer Havenue por Percent carbuon margin to profit and read Repurchase to purchases your Customie Number of customer represent percent market share Bayer's cycle $10.00 50% 02 02 50.000 Formulas WA VLC Value of a percent unges market share Custom Rention rate 11 Berecycle NA NNU VLC Vahwa percent change the NA Sheet + AT MGA p Type her io ears