Q Use the data table to show the impact of the number of new customers acquired ranging from to with customer increments on the total costs and total increase in profit of the referral program. What are the total costs and total profit for acquiring new customers?
tableTotal costTotal profit,
b Use Goal Seek to find out the number of new customers needed for the referral program to break even.
Note: Round your answer to the nearest whole number.
c What does the average customer annual spending need to be in order to achieve $ in profit from the referral program, assuming new customers are acquired through the referral program? Now reevaluate this question by taking into account the fact that of the customers acquired through the referral program would have become customers of the credit card company even without the referral program.
The average annual spending needs
The average annual spending needs acheve $ profit increase
d Use the original assumptions for the spreadsheet model to compare the following three scenarios. Which scenarlo will yield the highest profit from the referral program? What is the highest profit?
