Question: Your friend operates a local gym and needs help targeting her best customers. After working with her, you realize that the average customer contributes $

Your friend operates a local gym and needs help targeting her best customers. After working with her, you realize that the average customer contributes $

1, 500

of profit per year. Her gym averages a

25 %

retention rate. What is the customer lifetime value of an average gym customer? Use an

6 %

discount rate.

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