Question: EXERCISES 3 3 a ) Use the given information to complete the model. That is , find the transmission and attrition coe ffi cients a

EXERCISES 33 a) Use the given information to complete the model. That is, find the transmission and attrition coe ffi cients a and b. b) Using At =2, estimate S (4),1(4), and R (4). c) Find the threshold and explain its significance. d) Suppose that upon becoming active, customers are given personal customer support and continual product updates that extend the time they stay active to an average of 30 days. What e ect will this have on the threshold for S? Do you think the improvement in the threshold is likely to be worth the extra cost of the intervention?

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