clementyeung
New member
- Joined
- Jan 30, 2013
- Messages
- 1
Hi everyone,
I'm drafting a proposal for investment and I have a math question which asks: what is the first year turnover of a business taking into account customer acquisition and attrition.
The details are as follows:
- New business—no customers from business start date
- $47 per month fee, per customer
- 10 new accounts, per month, from business start date
- 20% customer attrition rate after 2 months of their business (so, 20% of the 10 additional customers per month, will stop paying the monthly fee after 2 months of paying it)
Do you know what would be the first year turnover? I have tried many times to navigate math equations online to come up with a solution but failed. My friend has given me the following equation which I really don't understand either (I really suck at math): f(t)=(470+470t)*0.8^t
I don't think that equation is correct, either.
Please help—it is much appreciated
I'm drafting a proposal for investment and I have a math question which asks: what is the first year turnover of a business taking into account customer acquisition and attrition.
The details are as follows:
- New business—no customers from business start date
- $47 per month fee, per customer
- 10 new accounts, per month, from business start date
- 20% customer attrition rate after 2 months of their business (so, 20% of the 10 additional customers per month, will stop paying the monthly fee after 2 months of paying it)
Do you know what would be the first year turnover? I have tried many times to navigate math equations online to come up with a solution but failed. My friend has given me the following equation which I really don't understand either (I really suck at math): f(t)=(470+470t)*0.8^t
I don't think that equation is correct, either.
Please help—it is much appreciated