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Business Intermediate

01 Unit Economics

Unit economics is where judgment meets arithmetic. The grader checks both: your numbers have to be right AND your read of them has to be sound. A channel isn't 'good' because it brings sales; it's good when a customer earns back more than it cost to acquire.

Step 2 / 2

That channel is at LTV:CAC = 2.8x, just under the ~3x bar. Propose ONE lever to pull, quantify the target it must hit to clear 3x, and note the main risk of pulling that lever.

Hints

Pick one: cut CAC, cut churn, raise ARPU, or raise margin.
Do the arithmetic for the target that clears 3x.
Every lever has a downside; name it.