Which of the Following Represents the Overall Approximate Worth of a Customer

question 82

Multiple Choice

Which of the following represents the overall approximate worth of a customer to a company in economic terms?

• A) net present value (NPV)
• B) customer lifetime value (CLV)
• C) customer present value (CPV)
• D) customer future value (CFV)

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Definitions:

Dividend Income Distributions

These are payments made by a corporation to its shareholders, usually derived from the company's earnings.

Capital Gains

The increase in value of an asset or investment above its purchase price, realized when the asset is sold.

NAV

Net Asset Value (NAV) represents the per-share market value of all the securities held by a mutual fund, ETF, or similar investment vehicle, calculated by subtracting the fund's liabilities from its assets and dividing by the number of shares outstanding.

Income Distributions

Payments made to investors from the income generated by the assets within a fund or investment, such as dividends or interest payments.