Janet Garcia is considering expanding her business. She plans to hire a salesperson tocover trade shows. Because of compensation, travel expenses, and booth rental, fixedcosts for a trade show are expected to be $8,700. The booth will be open 29 hoursduring the trade show. Ms. Garcia also plans to add a new product line, ProOffice, whichwill 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 spendapproximately 19 hours selling EZRecords and 10 hours marketing ProOffice.Required:a. Determine the estimated total cost and cost per unit of each product, assuming thatthe salesperson is able to sell 86 units of EZRecords and 58 units of ProOffice.(Round "Cost per unit" answers to 2 decimal places.)EZRecordsProOfficeTotal cost of salesCost per unitb. Determine the estimated total cost and cost per unit of each product, assuming thatthe salesperson is able to sell 199 units of EZRecords and 99 units of ProOffice.(Round "Cost per unit" answers to 2 decimal places.)ProOfficeEZRecordsTotal cost of salesCost per unit

Answered: Image /qna-images/answer/2c211374-3ba5-43cd-bbc8-fbae26ea9af5.jpg

Answered: Janet Garcia is considering expanding…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A salesperson who sells commercial machinery to assembly companies that require large machines to make their car parts that they sell to automotive companies is talking to manufacturing company representatives who are interest in purchasing 5 large assembly machines. The machines sell for $10,000 each and are necessary for companies that make parts. The salesperson, Sam, tells the manufacturing company managers that the machines have a new high-speed motor that can make parts in half the time. The management of American Manufacturing Company (AMC) feels this is very important and would help cut down on costs at the company. The management agrees to purchase 5 high-speed machines for a total of $50,000. Önce the machines are delivered, the management realizes that the machines do not produce double the parts, and do not have the high-speed motors as the salesperson stated. What are the best legal arguments that the management can make to challenge the purchase agreement on the 5…
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