CableVision has been approached by the City of Mirada to run its cable operations in 2019. After negotiating with key parties, CableVision has made the following agreements: - It will offer Mirada residents a basic set of 25 cable television stations at a rate of $33.49 per month. 0 It will pay the city $1,300,000 per year plus $4.00 per cable subscriber per month to maintain the physical facilities. 0 It will actually pay another company a monthly xed fee of $60,000 plus $8.25 per cable subscriber per month to broadcast the 25 channels. CableVision estimates that operating costs for billing, program news mailings, etc. will be $110,000 per month plus 7% of monthly revenue. CableVision has several questions about its monthly revenues, costs, and prots in 2019