question archive The Fit Factory offers members a discount if they sign a one-year contract paid in full at the beginning of each year
The Fit Factory offers members a discount if they sign a one-year contract paid in full at the beginning of each year
Subject:FinancePrice: Bought3
The Fit Factory offers members a discount if they sign a one-year contract paid in full at the beginning of each year. Fit Factory earns an annual margin of $226 on these contracts. The appropriate annual discount rate is 8%, and the annual retention rate is 40%. Calculate the CLVrem, assuming the first payment is made at the beginning of the contract.
