8. David runs a small day care facility. Monthly fixed costs for the facility are as follows: Amount 1800 1000 Rent Salaries Other Fixed Costs Total Fixed Costs 1000 3800 The salary is for Ms. Anita the only employee, who works at facility by caring for the children. David receives profits only and no salary. The cost driver for variable costs is "child-days. One child-day is one day in day care for one child, and the variable cost is Rs. 20 per child-day. The facility is open from 7:00 am to 6:00 pm weekdays (that is, Monday-Friday), and there are 22 weekdays in a July 2019. An average day has 10 children attending the facility. State law prohibits facility from having more than 18 children, a limit it has never reached. David charges Rs. 40 per day per child, regardless of how long the child is at the facility. 8.1 What is the break-even point for July in child-days? In revenue dollars? (3 marks) 8.2 Suppose attendance for July 2019 is equal to the average, resulting in 22 * 10 = 220 child-days. What amount will David have left after paying all expenses also calculate margin of safety? (2 marks) 8.3 Compute the amount David will have left after paying all expenses for each of the following situations. Consider each case independently. (5x2 = 10 marks) 8.3.1 Average attendance is 15 children per day instead of 10, generating 330 child-days. 8.3.2 Variable costs increase to Rs.14 per child-day. 8.3.3 Rent increases by Rs. 500 per month. 8.3.4 David spends Rs.400 on advertising (a fixed cost) in July, which increases average daily attendance to 14 children. 8.3.5 David begins charging Rs.50 per day on July1, and average daily attendance slips to 7 children