In determining the value of an app, you find that 20 out of 200 users who open the app make a purchase, with the value of each purchase being $500. How much is the value of this action along the purchase funnel?

To determine the value of this action, calculate the average revenue per user. You have 20 purchases, each worth $500, totaling $10,000 in revenue (20 users $500/user). This revenue was generated from 200 users who opened the app. Divide the total revenue by the total number of users who opened the app: $10,000 / 200 users = $50 per user. The question asks for the value of this action along the purchase funnel, implying the value of each user who opened the app, not just those who purchased. $500 is incorrect because it represents the value of a single purchase, not the average value per user who opened the app. $20 is incorrect because it represents the number of users who made a purchase, not a monetary value. $200 is incorrect because it represents the total number of users who opened the app, not a monetary value.