Decide the average value of a loyal customer

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Reference no: EM1373965

Q. A manufacturer of business copier workstations has a 75 percent customer retention rate. Their accounting department estimates the incremental contribution to profit and overhead as 40 percent. Customers purchase the workstations every 3 years at an average cost of $1,500.00. Decide the average value of a loyal customer.

Reference no: EM1373965

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