700-805 CRM: Cisco Renewals ManagerDemo

By Cisco · Question Mode

QuestionQ51

Renewals Process

A customer bought a three-year WebEx contract for 100 seats at $10 per seat. What is the annual recurring revenue?

  • A $100
  • B $1000
  • C $3000
  • D $ 3300
Explanation

Annual recurring revenue is the yearly value of recurring seat subscriptions. One hundred seats at $10 per seat produce $1,000 in recurring revenue per year; the three-year term would make the total contract value $3,000, not the ARR.

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