William Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base salary of $1,510 per month. One of the barbers serves as the manager and receives an extra $580 per month. In addition to the base salary, each barber also receives a commission of $8.40 per haircut. Other costs are as follows. Advertising Rent Barber supplies Utilities Magazines William currently charges $18.00 per haircut. (a) Determine the unit variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Your answer is correct.. Total unit variable cost per haircut Total fixed costs (b) $300 per month $1,020 per month $0.45 per haircut $150 per month plus $0.15 per haircut $30 per month eTextbook and Media (d) V Your answer is correct. Break-even point Break-even point sales $ Compute the break-even point in sales units and in sales dollars. eTextbook and Media Your answer is incorrect. $ Net income $ $ 1070 19260 9 9630 haircuts Determine net income, assuming 1,700 haircuts are given in a month. Attempts: 1 of 5 used Attempts: 2 of 5 used

William Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base salary of $1,510 per month. One of the barbers serves as the manager and receives an extra $580 per month. In addition to the base salary, each barber also receives a commission of $8.40 per haircut. Other costs are as follows. Advertising Rent Barber supplies Utilities Magazines William currently charges $18.00 per haircut. (a) Determine the unit variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Your answer is correct.. Total unit variable cost per haircut Total fixed costs (b) $300 per month $1,020 per month $0.45 per haircut $150 per month plus $0.15 per haircut $30 per month eTextbook and Media (d) V Your answer is correct. Break-even point Break-even point sales $ Compute the break-even point in sales units and in sales dollars. eTextbook and Media Your answer is incorrect. $ Net income $ $ 1070 19260 9 9630 haircuts Determine net income, assuming 1,700 haircuts are given in a month. Attempts: 1 of 5 used Attempts: 2 of 5 used

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter17: Activity Resource Usage Model And Tactical Decision Making

Section: Chapter Questions

Problem 6E: Elliott, Inc., has four salaried clerks to process purchase orders. Each clerk is paid a salary of...

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Vin Diesel owns the Fredonia Barber Shop. He employs four barbers and pays each a base rate of $1,250 per month. One of the barbers serves as the manager and receives an extra $500 per month. In addition to the base rate, each barber also receives a commission of $4.50 per haircut.Other costs are as follows.Advertising $200permonth Rent $1,100permonth Barber supplies $0.30 per haircut Utilities $175 per month plus $0.20 per haircut Magazines $25 per monthVin currently charges $10 per haircut.Instructions(a) Determine the variable costs per haircut and the total monthly fixed costs. (b) Compute the break-even point in units and dollars. (c) Prepare a CVP graph, assuming a maximum of 1,800 haircuts in a month. Use incre-ments of 300 haircuts on the horizontal axis and $3,000 on the vertical axis. (d) Determine net income, assuming 1,600 haircuts are given in a month.
Sunland Diesel owns the Fredonia Barber Shop. He employs 4 barbers and pays each a base rate of $1,440 per month. One of the barbers serves as the manager and receives an extra $520 per month. In addition to the base rate, each barber also receives a commission of $9.15 per haircut.Other costs are as follows. Advertising $240 per month Rent $1,100 per month Barber supplies $0.35 per haircut Utilities $185 per month plus $0.10 per haircut Magazines $35 per month Sunland currently charges $16 per haircut. Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Total variable cost per haircut $enter a dollar amount rounded to 2 decimal places Total fixed $enter a dollar amount Compute the break-even point in units and dollars. Break-even point enter the Break-even point in units haircuts Break even sales $enter the Break-even…
Sheridan Diesel owns the Fredonia Barber Shop. He employs 4 barbers and pays each a base rate of $ 1,570 per month. One of the barbers serves as the manager and receives an extra $ 500 per month. In addition to the base rate, each barber also receives a commission of $ 9.05 per haircut. Other costs are as follows. Advertising $ 270 per month Rent $ 1,060 per month Barber supplies $0.45 per haircut Utilities $ 195 per month plus $ 0.10 per haircut Magazines $ 15 per month Sheridan currently charges $ 16 per haircut. Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Total variable cost per haircut 2$ 9.6 Total fixed 24 8320 eTextbook and Media Compute the break-even point in units and dollars. Break-even point haircuts Break even sales 2$ eTextbook and Media Determine net income, assuming 1,590 haircuts are given in a month. Net income / (Loss) $
Vin Diesel owns the Ayayai Barber Shop. He employs 6 barbers and pays each a base rate of $1,330 per month. One of the barbers serves as the manager and receives an extra $540 per month. In addition to the base rate, each barber also receives a commission of $4.50 per haircut. Other costs are as follows. Advertising $250 per month Rent $930 per month Barber supplies $0.30 per haircut Utilities $180 per month plus $0.20 per haircut Magazines $20 per month Vin currently charges $10.00 per haircut. Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Total variable cost per haircut 2$ Total fixed Compute the break-even point in units and dollars. (Round answers to 0 decimal places, e.g. 1,225.) Break-even point in units haircuts Break-even point in dollars 24
Mark Diesel owns the Fredonia Barber Shop. He employs 7 barbers and pays each a base salary of $1,200 per month. One of the barbers serves as the manager and receives an extra $560 per month. In addition to the base salary, each barber also receives a commission of $6.10 per haircut.Other costs are as follows. Advertising $270 per month Rent $970 per month Barber supplies $0.40 per haircut Utilities $175 per month plus $0.10 per haircut Magazines $20 per month Mark currently charges $12.00 per haircut. Determine the unit variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Total unit variable cost per haircut $enter total variable cost per haircut rounded to 2 decimal places in dollars Total fixed costs $enter total fixed cost in dollars
Crane Diesel owns the Fredonia Barber Shop. He employs 7 barbers and pays each a base rate of $1,310 per month. One of the barbers serves as the manager and receives an extra $560 per month. In addition to the base rate, each barber also receives a commission of$5.85 per haircut. Other costs are as follows. Advertising $300 per month Rent $950 per month Barber supplies $0.50 per haircut $170 per month plus $0.15 per haircut $30 per month Utilities Magazines Crane currently charges $13 per haircut. Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, eg. 2.25) Total variable cost per haircut Total fixed Compute the break-even point in units and dollars. Break-even point haircuts Break even seles
Sandhill Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base rate of $1,430 per month. One of the barbers serves as the manager and receives an extra $600 per month, In addition to the base rate, each barber also receives a commission of $6.00 per haircut Other costs are as follows. Advertising $260 per month Rent $1.000 per month Barber supplies $0.50 per haircut Utilities $150 per month plus $0.10 per haircut Magazines $20 per month Sandhill currently charges $12 per haircut.
Matthew Diesel owns the Fredonia Barber Shop. He employs 6 barbers and pays each a base salary of $1,490 per month. One of the barbers serves as the manager and receives an extra $600 per month. In addition to the base salary, each barber also receives a commission of $10.40 per haircut. Other costs are as follows. Advertising $ 220 per month Rent $950 per month Barber supplies $0.50 per haircut Utilities $195 per month plus $0.10 per haircut Magazines $30 per month Matthew currently charges $20.00 per haircut.mpute the break-even point in sales units and in sales dollars. Break - even point haircuts Break-even point sales Break-even point Compute the break-even point in sales units and in sales dollars. Break-even point sales $ 3 Tauthooke sød Madis c haircuts
Jason Diesel owns the Fredonia Barber Shop. He employs 6 barbers and pays each a base salary of $1,480 per month. One of the barbers serves as the manager and receives an extra $600 per month. In addition to the base salary, each barber also receives a commission of $10.55 per haircut. Other costs are as follows. Advertising Rent Barber supplies Utilities Magazines $260 per month $1,010 per month $0.30 per haircut $160 per month plus $0.15 per haircut $25 per month Jason currently charges $20.00 per haircut.
Kevin Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base salary of $1,440 per month. One of the barbers serves as the manager and receives an extra $565 per month. In addition to the base salary, each barber also receives a commission of $8.50 per haircut. Other costs are as follows. Advertising $250 per month Rent $1,100 per month Barber supplies $0.35 per haircut Utilities $150 per month plus $0.15 per haircut Magazines $35 per month Kevin currently charges $15.00 per haircut. (a) Determine the unit variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.) Total variable cost per haircut Total fixed costs $
Kevin Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base salary of $1,440 per month. One of the barbers serves as the manager and receives an extra $565 per month. In addition to the base salary, each barber also receives a commission of $8.50 per haircut. Other costs are as follows. Advertising $250 per month Rent $1,100 per month Barber supplies $0.35 per haircut Utilities $150 per month plus $0.15 per haircut Magazines $35 per month Kevin currently charges $15.00 per haircut.
Jolly Cleaners offers residential and commercial cleaning services. Clients pay a fixed monthly fee for the service, but can cancel the service at the end of any month. In addition to the employees who do the actual cleaning, the firm includes two managers who handle the administrative tasks (human resources, accounting, and so on) and one dispatcher, who assigns the cleaning employees to jobs on a daily basis. On average, residential clients pay $320 per month for cleaning services and the commercial clients pay $1,800 per month. A typical residential client requires 10 hours a month for cleaning and a typical commercial client requires 40 hours a month. In March, Jolly Cleaners had 30 commercial clients and 160 residential clients. Cleaners are paid $15 per hour and are only paid for the hours actually worked. Supplies and other variable costs are estimated to cost $5 per hour of cleaning. Other monthly costs (all fixed) are $49,000 SG&A, including managerial and dispatcher…