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9. Arnprior Academics runs courses in Human Resource Management. Each course can accommodate up to 25 students. The costs for a recent course with 25

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9. Arnprior Academics runs courses in Human Resource Management. Each course can accommodate up to 25 students. The costs for a recent course with 25 trainees were as follows: Instructor's fees $2,000 Refreshments $ 250 Photocopying $ 750 Room rental $1,000 Computer hire ($10/workstation plus $50 one-time setup fee) $ 300 Software licence ($20 per student plus $200 per course) $ 700 Sales revenue is $500 per trainee. Required Answer the following using trainees as the measure of activity: (a) Classify cach cost line as variable, fixed, or mixed. (b) Separate each mixed cost into its variable and fixed compo- nents. (c) Calculate the total variable cost per trainee. (d) Calculate the total fixed cost per course. (e) Calculate the contribution margin per trainee. (f) Calculate the number of trainees at which the course will break even. (g) Calculate the profit for a course with 10 trainees. (h) Calculate the profit for a course with 25 trainees. (i) Course 2015.X3 is full. It has 25 trainees registered. One of Arnprior Academic's own employees is to go on the course in addition to the existing 25 trainees. By agreement, the Arnprior HR department is going to be charged "cost", instead of the $500 normally charged to outside customers. How much will that be? 6) is the break-even model a good description of Arnprior Aca- demic's course activities

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