Little Summer Elite Ballplayers

Leaguers Sluggers (Print Ad)

Contact cost ¥1,000 ¥1,500 ¥300
Response rate 10% 15% 0.5%
Acquisition cost ¥10,000 ¥10,000 ¥60,000

Workers needed 2 1 1
Worker labor cost/hour ¥1,500 ¥1,500 ¥1,500
Instructors needed 1 0 1
Instructor labor cost / hou ¥3,000 ¥0 ¥4,500
Total cost / hr ¥6,000 ¥1,500 ¥6,000

Price / hr ¥6,500 ¥3,000 ¥7,500

Margin / hour ¥500 ¥1,500 ¥1,500
Annual hours 10 4 20
Annual margin ¥5,000 ¥6,000 ¥30,000

Retention rate 75% 50% 60%

Interest rate 10%

CLV 5556 956 5916

Elite Ballplayers Entertainment LL New
(Party) Seekers district
¥12,500 ¥50 ¥600
25% 2.5% 8%
¥50,000 ¥2,000 ¥7,500

1 2 2
¥1,500 ¥1,500 ¥1,500
1 0 1
¥4,500 ¥0 ¥3,000
¥6,000 ¥3,000 ¥6,000

¥7,500 ¥4,000 ¥6,500

¥1,500 ¥1,000 ¥500
20 1.5 10
¥30,000 ¥1,500 ¥5,000

60% 35% 65%

15916 177 4615

 Little
Leaguers
Contact cost ¥1,000
Response rate 10%
Acquisition cost ¥10,000

Workers needed 2
Worker labor cost/hour ¥1,500
Instructors needed 1
Instructor labor cost / hour ¥3,000
Total cost / hr ¥6,000

Price / hr ¥6,500
Margin / hour ¥500
Annual hours 10
Annual margin ¥5,000

Retention rate 75%

Interest rate 10%

CLV 5556
retention rate 0.75 interest rate 0.1 annual margin
1 2
Little Leaguers Now Year 1 Year 2 Year 3
Number of customers 1 1 0.75 0.56

Acquisition cost ¥10,000 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥5,000 ¥3,750 ¥2,813

Cashflow ¥10,000 ¥5,000 ¥3,750 ¥2,813

Cumulative Cashflow ¥10,000 ¥5,000 ¥1,250 ¥1,563
PV ¥10,000 ¥5,000 ¥3,409 US$2,324.8
Cumulative PV ¥10,000 ¥5,000 ¥1,591 ¥733

Years till complete attrition 12

Multiplier
Subramanian, Upender:
NPV Breakeven tim = year when
cumulative cashflow becomes
positive

retention rate 0.5 interest rate 0.1

1 2
Summer Sluggers Now Year 1 Year 2 Year 3
Number of customers 1 1 0.5 0.25

Acquisition cost ¥10,000 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥6,000 ¥3,000 ¥1,500

Cashflow ¥10,000 ¥6,000 ¥3,000 ¥1,500

Cumulative Cashflow ¥10,000 ¥4,000 ¥1,000 ¥500
PV ¥10,000 6,000 2,727 1,240
Cumulative PV ¥10,000 ¥4,000 ¥1,273 ¥33

Years till complete attrition 7

NPV ¥956.00

retention rate 0.6 interest rate 0.1

1 2
Elite Ballplayers (Ad) Now Year 1 Year 2 Year 3
Number of customers 1 1 0.6 0.36

Acquisition cost ¥60,000 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥30,000 ¥18,000 ¥10,800

Cashflow ¥60,000 ¥30,000 ¥18,000 ¥10,800

Cumulative Cashflow ¥60,000 ¥30,000 ¥12,000 ¥1,200
PV (60,000) 30,000 16,364 8,926
Cumulative PV ¥60,000 ¥30,000 ¥13,636 ¥4,711

Years till complete attrition 11.00

NPV

rententin rate 0.6 interest rate 0.1

1 2
Elite Ballplayers (Party) Now Year 1 Year 2 Year 3
Number of customers 1 1 0.6 0.36

Acquisition cost ¥50,000 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥30,000 ¥18,000 ¥10,800

Cashflow ¥50,000 ¥30,000 ¥18,000 ¥10,800

Cumulative Cashflow ¥50,000 ¥20,000 ¥2,000 ¥8,800
PV ¥50,000 ¥30,000.00 ¥16,363.64 ¥8,925.62
Cumulative PV ¥50,000 ¥20,000 ¥3,636 ¥5,289
NPV
retention rate 0.35 interest rate 0.1
1 2
Entertainment Seeker Now Year 1 Year 2 Year 3
Number of customers 1 1 0.35 0.1225

Acquisition cost ¥2,000 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥1,500 ¥525 ¥183.75

Cashflow ¥2,000 ¥1,500 ¥525 ¥184

Cumulative Cashflow ¥2,000 ¥500 ¥25 ¥209
PV ¥2,000 ¥1,500.00 ¥477.27 ¥151.86
Cumulative PV ¥2,000 ¥500 ¥23 ¥129

retention rate ¥0.65 interest rate ¥0.10

1 2
Little Leaguers - New District Now Year 1 Year 2 Year 3
Number of customers 1 1 0.65 0.42

Acquisition cost ¥7,500 ¥0 ¥0 ¥0

Gross Profits ¥0 ¥5,000 ¥3,250 ¥2,113

Cashflow ¥7,500 ¥5,000 ¥3,250 ¥2,113

Cumulative Cashflow ¥7,500 ¥2,500 ¥750 ¥2,863
PV ¥7,500 ¥5,000 ¥2,955 ¥1,746
Cumulative PV ¥7,500 ¥2,500 ¥455 ¥2,200

Years till complete attrition 9.00

 Summer Elite Ballplayers Elite Ballplayers
Sluggers (Print Ad) (Party)
¥1,500 ¥300 ¥12,500
15% 0.5% 25%
¥10,000 ¥60,000 ¥50,000

1 1 1
¥1,500 ¥1,500 ¥1,500
0 1 1
¥0 ¥4,500 ¥4,500

¥3,000 ¥7,500 ¥7,500

4 20 20

50% 60% 60%

956 5916 15916

5000
3 4 5 6 7 8 9 10
Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11
0.42 0.32 0.24 0.18 0.13 0.10 0.08 0.06

¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥2,109 ¥1,582 ¥1,187 ¥890 ¥667 ¥501 ¥375 ¥282

¥2,109 ¥1,582 ¥1,187 ¥890 ¥667 ¥501 ¥375 ¥282

¥3,672 ¥5,254 ¥6,441 ¥7,331 ¥7,998 ¥8,499 ¥8,874 ¥9,156
1585 US$1,081 737 502 342 234 159 109
¥2,318 ¥3,398 ¥4,135 ¥4,637 ¥4,980 ¥5,213 ¥5,372 ¥5,481

3 4 5 6
Year 4 Year 5 Year 6 Year 7
 0.125 0.0625 0.03125 0.015625

¥0 ¥0 ¥0 ¥0
¥750 ¥375 ¥188 ¥94

¥750 ¥375 ¥188 ¥94

¥1,250 ¥1,625 ¥1,813 ¥1,906
563 256 116 53
¥530 ¥787 ¥903 ¥956

3 4 5 6 7 8 9 10
Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11
0.216 0.1296 0.07776 0.046656 0.0279936 0.01679616 0.010077696 0.00604662

¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥6,480.00 ¥3,888 ¥2,332.80 ¥1,399.68 ¥839.81 ¥503.88 ¥302.33 ¥181.40

¥6,480 ¥3,888 ¥2,333 ¥1,400 ¥840 ¥504 ¥302 ¥181

¥5,280 ¥9,168 ¥11,501 ¥12,900 ¥13,740 ¥14,244 ¥14,547 ¥14,728
4,869 2,656 1,448 790 431 235 128 70
¥158 ¥2,813 ¥4,262 ¥5,052 ¥5,483 ¥5,718 ¥5,846 ¥5,916

3 4 5 6 7 8 9 10
Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11
0.216 0.1296 0.07776 0.046656 0.0279936 0.01679616 0.010077696 0.00604662

¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥6,480 ¥3,888 ¥2,332.80 ¥1,399.68 ¥839.81 ¥503.88 ¥302.33 ¥181.40

¥6,480 ¥3,888 ¥2,333 ¥1,400 ¥840 ¥504 ¥302 ¥181

¥15,280 ¥19,168 ¥21,501 ¥22,900 ¥23,740 ¥24,244 ¥24,547 ¥24,728
¥4,868.52 ¥2,655.56 ¥1,448.49 ¥790.08 ¥430.95 ¥235.07 ¥128.22 ¥69.94
¥10,158 ¥12,813 ¥14,262 ¥15,052 ¥15,483 ¥15,718 ¥15,846 ¥15,916
 3
Year 4
0.04

¥0
¥64

¥64
¥273
¥48.32
¥177

3 4 5 6 7 8
Year 4 Year 5 Year 6 Year 7 Year 8 Year 9
0.27 0.18 0.12 0.08 0.05 0.03

¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥1,373 ¥893 ¥580 ¥377 ¥245 ¥159

¥1,373 ¥893 ¥580 ¥377 ¥245 ¥159

¥4,236 ¥5,128 ¥5,708 ¥6,085 ¥6,331 ¥6,490
¥1,032 ¥610 ¥360 ¥213 ¥126 ¥74
¥3,232 ¥3,842 ¥4,202 ¥4,415 ¥4,541 ¥4,615
Ballplayers Entertainment LL New
(Party) Seekers district
¥50 ¥600
2.5% 8%
¥2,000 ¥7,500

2 2
¥1,500 ¥1,500
0 1
¥0 ¥3,000

¥4,000 ¥6,500

1.5 10

35% 65%

177 4615

11
Year 12
0.04

¥0
¥211

¥211
¥9,367
74
¥5,555
 Little Leaguers Now Year 1
Number of customers 1 1

Acquisition cost ¥10,000 ¥0

Gross Profits ¥0 ¥5,000

Cashflow ¥10,000 ¥5,000

Cumulative Cashflow ¥10,000 ¥5,000
PV ¥10,000 ¥5,000
Cumulative PV ¥10,000 ¥5,000

Sub
Years till complete attrition 12.00 com
Subramanian, Foll
Upender: Breakeven calc
Multiplier 3.14 3.11
time = year when CLV
NPV ¥5,714.29 ¥5,555.68
cumulative cashflow
becomes positive

Summer Sluggers Now Year 1

Number of customers 1 1

Acquisition cost ¥10,000 ¥0

Gross Profits ¥0 ¥6,000

Cashflow ¥10,000 ¥6,000

Cumulative Cashflow ¥10,000 ¥4,000
PV ¥10,000 ¥6,000
Cumulative PV ¥10,000 ¥4,000

Years till complete attrition 7.00

1.83 1.83
NPV ¥1,000.00 ¥955.90

Elite Ballplayers (Ad) Now Year 1

Number of customers 1 1

Acquisition cost ¥60,000 ¥0

Gross Profits ¥0 ¥30,000

Cashflow ¥60,000 ¥30,000

Cumulative Cashflow ¥60,000 ¥30,000
PV ¥60,000 ¥30,000
Cumulative PV ¥60,000 ¥30,000

Years till complete attrition 11.00

2.20 2.20
NPV ¥6,000.00 ¥5,916.08

Elite Ballplayers (Party) Now Year 1

Number of customers 1 1

Acquisition cost ¥50,000 ¥0

Gross Profits ¥0 ¥30,000

Cashflow ¥50,000 ¥30,000

Cumulative Cashflow ¥50,000 ¥20,000
PV ¥50,000 ¥30,000
Cumulative PV ¥50,000 ¥20,000

11.00

2.20 2.20
NPV ¥16,000.00 ¥15,916.08

Entertainment Seeker Now Year 1

Number of customers 1 1

Acquisition cost ¥2,000 ¥0

Gross Profits ¥0 ¥1,500

Cashflow ¥2,000 ¥1,500

Cumulative Cashflow ¥2,000 ¥500
PV ¥2,000 ¥1,500
Cumulative PV ¥2,000 ¥500

1.47 1.45
NPV ¥200.00 ¥177.45

Little Leaguers - New District Now Year 1

 Number of customers 1 1

Acquisition cost ¥7,500 ¥0

Gross Profits ¥0 ¥5,000

Cashflow ¥7,500 ¥5,000

Cumulative Cashflow ¥7,500 ¥2,500
PV ¥7,500 ¥5,000
Cumulative PV ¥7,500 ¥2,500

Years till complete attrition 9.00

Multiplier 2.44 2.42

NPV ¥4,722.22 ¥4,614.86

Elite Ballplayers (Party w/ Discount) Now Year 1

Retention rate 75%

Number of customers 1 1

Acquisition cost ¥50,000 ¥0

Price / hr ¥7,500
Margin / hr ¥1,500
Gross Profits/customer ¥0 ¥30,000

Cashflow ¥50,000 ¥30,000

Cumulative Cashflow ¥50,000 ¥20,000
PV ¥50,000 ¥30,000
Cumulative PV ¥50,000 ¥20,000

NPV ¥22,656

Elite Ballplayers (Party w/ Bat) Now Year 1

Number of customers 1 1
Response rate 29%
Acquisition cost ¥53,103 ¥0
Gross Profits ¥0 ¥30,000

Cashflow ¥53,103 ¥30,000

Cumulative Cashflow ¥53,103 ¥23,103
PV ¥53,103 ¥30,000
Cumulative PV ¥53,103 ¥23,103
Years till complete attrition 11.00

2.20 2.20
NPV ¥12,896.55 ¥12,812.63

43103.44827586 10000
 1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0.75 0.56 0.42 0.32 0.24 0.18

¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥3,750 ¥2,813 ¥2,109 ¥1,582 ¥1,187 ¥890

¥3,750 ¥2,813 ¥2,109 ¥1,582 ¥1,187 ¥890

¥1,250 ¥1,563 ¥3,672 ¥5,254 ¥6,440 ¥7,330
¥3,409 ¥2,324 ¥1,585 ¥1,081 ¥737 ¥502
¥1,591 ¥733 ¥2,318 ¥3,399 ¥4,136 ¥4,638

Subramanian, Upender: I have used a

complicated formula to directly calculate CLV.
Follow the steps we discussed in class to
calculate CLV (or use the steps in the other
CLV xl sheet from last week)

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0.5 0.25 0.125 0.0625 0.03125 0.015625

¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥3,000 ¥1,500 ¥750 ¥375 ¥188 ¥94

¥3,000 ¥1,500 ¥750 ¥375 ¥188 ¥94

¥1,000 ¥500 ¥1,250 ¥1,625 ¥1,813 ¥1,906
¥2,727 ¥1,240 ¥563 ¥256 ¥116 ¥53
¥1,273 ¥33 ¥530 ¥787 ¥903 ¥956

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0.6 0.36 0.216 0.1296 0.07776 0.046656

¥0 ¥0 ¥0 ¥0 ¥0 ¥1
¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,333 ¥1,400

¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,333 ¥1,399

¥12,000 ¥1,200 ¥5,280 ¥9,168 ¥11,501 ¥12,899
¥16,364 ¥8,926 ¥4,869 ¥2,656 ¥1,448 ¥790
 ¥13,636 ¥4,711 ¥158 ¥2,813 ¥4,262 ¥5,051

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0.6 0.36 0.216 0.1296 0.07776 0.046656

¥0 ¥0 ¥0 ¥0 ¥1 ¥2
¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,333 ¥1,400

¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,332 ¥1,398

¥2,000 ¥8,800 ¥15,280 ¥19,168 ¥21,500 ¥22,897
¥16,364 ¥8,926 ¥4,869 ¥2,656 ¥1,448 ¥789
¥3,636 ¥5,289 ¥10,158 ¥12,813 ¥14,261 ¥15,050

1 2 3
Year 2 Year 3 Year 4
0.35 0.1225 0.04

¥0 ¥0 ¥0
¥525 ¥184 ¥64

¥525 ¥184 ¥64

¥25 ¥209 ¥273
¥477 ¥152 ¥48
¥23 ¥129 ¥177

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
 0.65 0.42 0.27 0.18 0.12 0.08

¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥3,250 ¥2,113 ¥1,373 ¥893 ¥580 ¥377

¥3,250 ¥2,113 ¥1,373 ¥893 ¥580 ¥377

¥750 ¥2,863 ¥4,236 ¥5,128 ¥5,708 ¥6,085
¥2,955 ¥1,746 ¥1,032 ¥610 ¥360 ¥213
¥455 ¥2,200 ¥3,232 ¥3,842 ¥4,202 ¥4,415

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7

0.75 0.56 0.42 0.32 0.24 0.18

¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000
¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000
¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000

¥15,000 ¥11,250 ¥8,438 ¥6,328 ¥4,746 ¥3,560

¥5,000 ¥6,250 ¥14,688 ¥21,016 ¥25,762 ¥29,321
¥13,636 ¥9,298 ¥6,339 ¥4,322 ¥2,947 ¥2,009
¥6,364 ¥2,934 ¥9,273 ¥13,595 ¥16,542 ¥18,552

1 2 3 4 5 6
Year 2 Year 3 Year 4 Year 5 Year 6 Year 7
0.6 0.36 0.216 0.1296 0.07776 0.046656

¥0 ¥0 ¥0 ¥0 ¥1 ¥2
¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,333 ¥1,400

¥18,000 ¥10,800 ¥6,480 ¥3,888 ¥2,332 ¥1,398

¥5,103 ¥5,697 ¥12,177 ¥16,065 ¥18,396 ¥19,794
¥16,364 ¥8,926 ¥4,869 ¥2,656 ¥1,448 ¥789
¥6,740 ¥2,186 ¥7,054 ¥9,710 ¥11,158 ¥11,947
53103.4482758621
 7 8 9 10 11
Year 8 Year 9 Year 10 Year 11 Year 12
0.13 0.10 0.08 0.06 0.04

¥0 ¥0 ¥0 ¥0 ¥0
¥667 ¥501 ¥375 ¥282 ¥211

¥667 ¥501 ¥375 ¥282 ¥211

¥7,998 ¥8,498 ¥8,874 ¥9,155 ¥9,366
¥342 ¥234 ¥159 ¥109 ¥74
¥4,980 ¥5,214 ¥5,373 ¥5,482 ¥5,556

7 8 9 10
Year 8 Year 9 Year 10 Year 11
0.0279936 0.01679616 0.010077696 0.0060466176

¥2 ¥3 ¥4 ¥5
¥840 ¥504 ¥302 ¥181

¥838 ¥501 ¥298 ¥176

¥13,737 ¥14,238 ¥14,537 ¥14,713
¥430 ¥234 ¥127 ¥68
 ¥5,481 ¥5,715 ¥5,841 ¥5,909

7 8 9 10
Year 8 Year 9 Year 10 Year 11
0.0279936 0.01679616 0.010077696 0.0060466176

¥3 ¥4 ¥5 ¥6
¥840 ¥504 ¥302 ¥181

¥837 ¥500 ¥297 ¥175

¥23,734 ¥24,234 ¥24,532 ¥24,707
¥429 ¥233 ¥126 ¥68
¥15,480 ¥15,713 ¥15,839 ¥15,906

7 8
Year 8 Year 9
 0.05 0.03

¥0 ¥0
¥245 ¥159

¥245 ¥159
¥6,331 ¥6,490
¥126 ¥74
¥4,541 ¥4,615

7 8 9 10 11 12 13 14
Year 8 Year 9 Year 10 Year 11 Year 12 Year 13Year 14Year 15

0.13 0.10 0.08 0.06 0.04 0.03 0.02 0.02

¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0 ¥0
¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000 ¥7,000
¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000 ¥1,000
¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000 ¥20,000

¥2,670 ¥2,002 ¥1,502 ¥1,126 ¥845 ¥634 ¥475 ¥356

¥31,991 ¥33,993 ¥35,495 ¥36,621 ¥37,466 ¥38,099 ¥38,575 ¥38,931
¥1,370 ¥934 ¥637 ¥434 ¥296 ¥202 ¥138 ¥94
¥19,921 ¥20,856 ¥21,492 ¥21,927 ¥22,223 ¥22,425 ¥22,562 ¥22,656

7 8 9 10
Year 8 Year 9 Year 10 Year 11
0.0279936 0.01679616 0.010077696 0.0060466176

¥3 ¥4 ¥5 ¥6
¥840 ¥504 ¥302 ¥181

¥837 ¥500 ¥297 ¥175

¥20,631 ¥21,131 ¥21,428 ¥21,603
¥429 ¥233 ¥126 ¥68
¥12,376 ¥12,609 ¥12,735 ¥12,803
Year 15
 Annual Annual Breakeven Segment
CLV
Revenues Profit (Years) Size

Little Leaguers 65000 5000 3 5556 1000

Summer Sluggers 12000 6000 3 956
Elite Ballplayers (Ad) 150000 30000 4 5916
Elite Ballplayers (Party) 150000 30000 3 15916 1000
Entertainment Seekers 6000 1500 2 177

Little Leaguers - New District 65000 5000 2 4615 2000

Ballplayers (Party w/ Discount) 140000 20000 4 22656
Elite Ballplayers (Party w/ Bat) 150000 30000 4 12813 1000

Annual Annual Breakeven Segment

Revenues Profit (Years) CLV Size

Little Leaguers 65000 5000 3 5556 1000

Summer Sluggers 12000 6000 3 956
Elite Ballplayers (Ad) 150000 30000 4 5916
Elite Ballplayers (Party) 150000 30000 3 15916 1000
Entertainment Seekers 6000 1500 2 177

Little Leaguers - New District 65000 5000 2 4615 2000

Ballplayers (Party w/ Discount)
Elite Ballplayers (Party w/ Bat)
 Segment
Resp Profit
Acquired
Rate Potentia
l
10% 100 555568

25% 250 3979019

8% 160 738378.2

29% 290 3715662

Segment
Resp Profit
Rate Acquired Potentia
l
10%% 100 555600

25%% 250 3979000

0.08 160 738400

 Little Leaguers
Contact cost ¥1,000 ¥1,000 ¥1,000
Response rate 10% 15% 10%
Acquisition cost ¥10,000 ¥6,667 ¥10,000

Price / hr ¥6,500 ¥6,500 ¥6,500

Cost / hr ¥6,000 ¥6,000 ¥6,000
Margin / hour ¥500 ¥500 ¥500
Annual hours 10 10 10
Recurring Annual Profit ¥5,000 ¥5,000 ¥5,000

Retention rate 75% 75% 80%

Interest rate 10% 10% 10%
Multiplier 3.14 3.14 3.67

NPV ¥5,714.29 ¥9,047.62 ¥8,333.33

 ¥1,000 ¥1,000
10% 15%
¥10,000 ¥6,667

¥6,400 ¥6,400
¥6,000 ¥6,000
¥400 ¥400
10 11
¥4,000 ¥4,400

80% 80%
10% 10%
3.67 3.67

¥4,666.67 ¥9,466.67