You will be focusing on Year 5.

Calculate:

1. Unit margin
2. Margin %
3. Breakeven volume in units
4. 4. Target profit was $30,000. How many units short were they?

Boom All $ in (Thousands) Year 1 Year 2 Year 3 Year 4 Year 5 $1,167 $1,700 $2,553 $3,919 $833 $125 $175 $255 $383 $588 $100 $150 $230 $358 $563 $25 $25 $25 $25 $25 15% 15% 15% 15% 15% Revenue Margin Before Marketing Marketing Profit Margin (%) Marketing/Sales ROS Year on Year Revenue Growth CAGR Revenue from Year 1 Invested Capital ROI 12% 13% 14% 14% 14% 3.0% 2.1% 1.5% 1.0% 0.6% 40% 46% 50% 53% 40% 43% 45% 47% $500 $520 $552 $603 $685 5.0% 4.8% 4.8% 4.1% 3.6% Boom Year 2 Year 3 Year 4 Year 5 2.00 3.07 4.77 7.50 4.67 6.80 10.21 15.67 Year 1 New Customers (Thousands) 1.33 Total Customers (Thousands) 3.33 Sales/Customer $250 Marketing/New Customer $75 Retention Rate $250 $250 $250 $250 $75 $75 $75 $75 80% 80% 80% 80% Year 5 customer data: Customer Value Metric Boom Customer CLV $123.21 Customer Count (Thousands) 15.67 Customer Asset Value (Thousands) $1,344 Here is some more information from Year 5. Industry Information Total Market Revenue $35,493,000 Total Market Units Sold 280,000 Population 4,500,000 Boom Information Units Sold Discount Rate (per year) Acquisition Spending Baseline sales Beginning Inventory Ending Inventory 47,568 1% $270,500 $2,670.000 $2,600,000 $2.750,000