2 Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $12,740. The booth will be open 26 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $171 per package. She will continue to sell the existing product, EZRecords, which costs $104 per package. Ms. Ortega belleves that the salesperson will spend approximately 16 hours selling EZRecords and 10 hours marketing ProOffice. Required a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 89 units of EZRecords and 59 units of ProOffice. Book Print Ferences b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 203 units of EZRecords and 97 units of ProOffice. Note: For all requirements, round "Cost per unit" to 2 decimal places. a. Total cost of sales a. Cost per unit b. Total cost of sales b. Cost per unit EZRecords ProOffice

2 Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $12,740. The booth will be open 26 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $171 per package. She will continue to sell the existing product, EZRecords, which costs $104 per package. Ms. Ortega belleves that the salesperson will spend approximately 16 hours selling EZRecords and 10 hours marketing ProOffice. Required a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 89 units of EZRecords and 59 units of ProOffice. Book Print Ferences b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 203 units of EZRecords and 97 units of ProOffice. Note: For all requirements, round "Cost per unit" to 2 decimal places. a. Total cost of sales a. Cost per unit b. Total cost of sales b. Cost per unit EZRecords ProOffice

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 1EA: Garrison Boutique, a small novelty store, just spent $4,000 on a new software program that will help...

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Janet Garcia is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $8,700. The booth will be open 29 hours during the trade show. Ms. Garcia also plans to add a new product line, ProOffice, which will cost $190 per package. She will continue to sell the existing product, EZRecords, which costs $93 per package. Ms. Garcia believes that the salesperson will spend approximately 19 hours selling EZRecords and 10 hours marketing ProOffice. Required: a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 86 units of EZRecords and 58 units of ProOffice. (Round "Cost per unit" answers to 2 decimal places.) EZRecords ProOffice Total cost of sales Cost per unit b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 199 units…
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Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $10,660. The booth will be open 26 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $190 per package. She will continue to sell the existing product, EZRecords, which costs $103 per package. Ms. Ortega believes that the salesperson will spend approximately 16 hours selling EZRecords and 10 hours marketing ProOffice. Required a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 73 units of EZRecords and 59 units of ProOffice.
Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $12,690. The booth will be open 27 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $180 per package. She will continue to sell the existing product, EZRecords, which costs $103 per package. Ms. Ortega believes that the salesperson will spend approximately 17 hours selling EZRecords and 10 hours marketing ProOffice. Required a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 72 units of EZRecords and 45 units of ProOffice. b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 202 units of EZRecords and 101 units of ProOffice. Note: For all requirements, round "Cost per unit" to 2 decimal…
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XYZ, a grocery store, is considering offering one hour photo developing in their store. The firm expects that sales from the new one-hour machine will be $150,000 per year. XYZ currently offers overnight film processing with annual sales of $100,000. While many of the one-hour photo sales will be to new customers, XYZ estimates that 60% of their current overnight photo customers will switch and use the one-hour service. What is the minimum amount of sales from the one-hour service to justify the investment ?
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Please show work and explanations on how you got your answers.