Assume that a customer shops at a local grocery store spending an average of ?$350 a? week, resulting in a retailer profit of ?$35 each week from this customer. Assuming the shopper visits the store all 52 weeks of the? year, calculate the customer lifetime value if this shopper remains loyal over a? 10-year life span. Also assume a 9 percent annual interest rate and no initial cost to acquire the customer.
The customer yields?$_____per year in profits for this retailer. ?(Round to the nearest? dollar.)
The customer lifetime value is ?$_____