Here's the project I need help with. I work with an online advertising company that pays back cash rebates equal to 125% of what an advertiser spends when purchasing advertising with our company. The rebate is earned on a daily basis provided the advertiser has surfed 12-24 websites for 15 seconds each daily from other advertisers in our network.
Example: an advertiser purchases 1,000 ad packages for $1 each or $1000. That sum of money guarantees the advertiser's website will be seen by 1000 members in our community for 15 seconds each. If the advertiser views 12-24 websites each day from other members, then they will earn a rebate from 1%-8% per day based on the number of ad packages in their account. So if they had 1000 ad packages, and the rebate that day was posted at 2%, then the advertiser would receive a cash rebate of $20. Based on this example it would take 62.5 days in order to earn $1250 which is a return of the initial $1000 plus a profit of $250. Once any ad package reaches 125% in rebates, the ad package expires and the customer would have the option of purchasing another ad package. Make sense? This is option 1.
Option #2. The member who purchases ad packages has the option of "Upgrading" in other words; the member can elect to upgrade daily with their rebate monies and purchase additional ad packages, thus compounding their rebates. When I put together the existing spreadsheet I used a rebate percentage of 1% knowing that on day 125 the initial ad package expired, but I changed the percentage to 1.3% and I can't figure out how to make the adjustment, that's where I need your help.
You can see from my spreadsheet that the daily rebates accumulate and compound so that the number of ad packages increase, and hence so do their rebates. I am trying to illustrate potential income by upgrading rebates daily until there is enough per day to begin taking out some money. You will see on the spreadsheet that on day 126 the member begins setting aside 80% of the rebate that day and upgrading to purchase additional ad packages, and keeping 20% of that days rebate for income.
I really need you to understand this model so you can perhaps make some adjustments that I haven't thought about and at the same time fix my challenge.
Then I want to create another spreadsheet (calculator) that shows a person taking out 20% of the rebate money from the first day and upgrading with 80%, but the minimum number of ad packages needs to be set at $12,000.