Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Angie is expecting a baby next month and decides to work at home after delivery. She pays herself $10 per hour and it takes her

Angie is expecting a baby next month and decides to work at home after delivery. She pays herself $10 per hour and it takes her 10 hours to make a quilt. She estimates that she can work on average 30 hours per month after the baby is born. She purchases a used quilting machine for $800 and the materials needed to make one of her quilts is $85. She estimates that she can sell the quilts for $250 each. How long will it take her to break even? If she needs to spend $45 a month on internet advertising is it worth her while to make quilts? If she finds that quilts sell for $200, is her business sustainable?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Commercial Printing IRS Audit Techniques Guide

Authors: Internal Revenue Service

1st Edition

1304133753, 978-1304133755

More Books

Students also viewed these Accounting questions

Question

What attributes should output views possess?

Answered: 1 week ago