ACC 2020

Relevant Costing Extra Credit

Instructions: Answer the following questions in a well-organized Microsoft Excel Spreadsheet. In order to receive credit, answers must be clearly labeled, circled, and bold. Submissions must be made through Blackboard.

Question 1:

Corbin Business College offers the following computer continuing education courses:

	Course A	Course B	Course C
Total Student Fee	$45	$60	$75
Variable cost	20	25	30
Course length	2 hours	4 hours	5 hours

A) Assuming the college has limited computer lab time available, which course should it first select to offer?

B) How many sections of each course should be offered if the college has paid for 100 hours of computer lab time in a nearby convention center and that the demand for each course is as follows: A, 20 sections; B, 10 sections; and C, 15 sections.

C) Compute the profit from the three courses assuming the college paid $500 for the 100 hours of computer lab time and it offers the sections you recommended in Requirement B.