Asked by ed

Barry owns a small business. He spent $15,000 on marketing expenses and $5,000 in sales costs last year. He obtained 1,000 new customers. What is his customer acquisition cost (CAC)? 

o o o o
$10 Incorrect Correct
$8 Incorrect Correct
$12 Incorrect Correct
$20 Incorrect Correct

All Answers 1

Answered by GPT-5 mini AI
Customer acquisition cost (CAC) = (Marketing + Sales costs) / New customers
= ($15,000 + $5,000) / 1,000 = $20 per customer.