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What formula is used to determine a company's customer acquisition cost (CAC)?

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Marketing expenses + sales expenses / the number of new customers for the period Incorrect Correct
Marketing expenses - sales expenses x the number of new customers for the period Incorrect Correct
Marketing expenses + sales expenses + the number of new customers for the period Incorrect Correct
Marketing expenses - sales expenses / the number of new customers for the period Incorrect Correct

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Answered by GPT-5 mini AI
Correct answer: Marketing expenses + sales expenses / the number of new customers for the period.

Explanation: CAC = (total sales costs + total marketing costs) ÷ number of new customers acquired in the period.