Compute the customer lifetime value (CLV) of Customer 222 based on the data below for the first six years of the customer relationship. Costs (Ct) were incurred to promote customer retention at a rate of 0.8 in years 1 through 6 Initial acquisition cost $2,400
n = number of years retained 6
r = retention rate 0.8
Cost of capital 0.1
Mt = margin from customer in year t
M1 $1,000
M2 1,200
M3 1,300
M4 1,400
M5 1,500
M6 1,600
C1 240
C2 200
C3 200
C4 200
C5 160
C6 160

Analyzing and computing accrued warranty liability and expense waymire company sells a motor that carries a 60-day unconditional warranty against product failure. from prior years' experience, waymire estimates that 2% of units sold each period will require repair at an average cost of $100 per unit. during the current period, waymire sold 69,000 units and repaired 1,000 units. (a) how much warranty expense must waymire report in its current period income statement? (b) what warranty liability related to current period sales will waymire report on its current period-end balance sheet? (hint: remember that some units were repaired in the current period.) (c) what analysis issues must we consider with respect to reported warranty liabilities?