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Calculating Production Costs Study the information about Sal's Ice Cream Shop in the chart below. Note: Monthly supply costs apply to each month. Visit PearsonSuccessNet.com

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Calculating Production Costs Study the information about Sal's Ice Cream Shop in the chart below. Note: Monthly supply costs apply to each month. Visit PearsonSuccessNet.com for additional math help. Monthly Costs Expected Revenues Rent: $2,000 April: $8,000 Manager's salary: $2,000 May: $8,000 Workers' wages: $3,000 June: $10,000 Supplies (April and May): $2,000 July: $12,000 Supplies (June and September): $3,000 August: $12,000 Supplies (July and August): $4,000 September: $10,000 6. The manager has a contract that requires Sal to pay his salary. (a) How much does Sal pay in fixed costs? (b) How much does he pay in variable costs? (c) What are Sal's total costs? 7. Should Sal close the ice cream shop in April or May? Why or why not? 8. In what months does Sal earn a profit? How much does he make? 9. Should Sal take steps to change the way he does busi- ness? Explain your

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