There is a 30% chance that any current client of company A will switch to company B this year. There is a 40% chance that any client of company B will switch to company A this year

If these probabilities are stable over the years, and if company A has 500 clients and company B has 300 clients,
(a) how many clients will each company have next year?
(b) how many clients will each company have in two years?

(a) Company A will have 470; Company B will have 330.
(b) Company A will have 461; Company B will have 339.

Business

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