How much is the prospect lifetime value


Problem

An online meal plans company decided to spend $40,000 on a Google AdWords campaign reaching 50,000 viewers. If the company expects the campaign to convert 1.5% of the viewers to take advantage of a special introductory offer (priced so low that the firm makes only $20 margin on this initial purchase) and the CLV of the acquired customers is $200, how much is the Prospect Lifetime Value and how much is total revenue of this campaign?

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Financial Accounting: How much is the prospect lifetime value
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