Assume the annual profit from a credit card customer is year 1 $125, year 2 $125, year 3 $150, year 4 $150, year 5 $150, year 6 $200, year 7 $200.

Assume the annual profit from a credit card customer is year 1 $125, year 2 $125, year 3 $150, year 4 $150, year 5 $150, year 6 $200, year 7 $200.

Each year ear there is a 0% chance of losing the customer and the discount rate is 20%. It costs $250 to acquire the customer.

What at is the customer lifetime value of this customer?