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A Coffee Shop's Average Transaction Price Is $3, the Contribution

Question 77

Essay

A coffee shop's average transaction price is $3, the contribution margin is 60 percent, the typical customer makes a purchase once a week or 52 weeks per year, and management estimates the value of a loyal customer over the buying life cycle as $520.What is the customer defection rate?

Correct Answer:

verifed

Verified

VLC = (P)(RF)(CM)(BLC)
520 = (...

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