Cam industries is a company that makes and sells security camera systems for other businesses. They have provided the following information for you: Expenses (excluding GST) Sales staff: 2 positions, $55,000 annual salary each (including superannuation). Admin' staff: 1 manager ($95,000), 1 bookkeeper ($65,000), 1 receptionist ($40,000), all salaries given are annual and include superannuation. Rent: $15,000 per month Other operating costs: $4500 per month. Assets (excluding GST) Office furniture: Cost $15,000; useful life 8 years; depreciation method prime cost; installed on 1 July 2021. Factory equipment: Cost $375,000; useful life 8 years; depreciation method prime cost; installed ready for use 31 July 2021. Computers: Cost $20,000; useful life 4 years, depreciation method diminishing value; installed ready for use 15 July 2021. Your task is as follows: ii. Part 1 - Costs i. Cam Industries want to ensure they are paying their sales staff above the mean salary for the Smithfield-Wetherill Park area. Are they doing this? Show the mean income from 2015- 2018 graphically and the range of the mean income over that time to support your answer Cam Industries is interested in the business growth in the area. Determine if the number of employing businesses with 5-19 employees is increasing or decreasing over the last 5 years in the Smithfield-Wetherill park area (use the at June 30' data on the ABS website). Compare this to the number of retail trade jobs over the same time period. Show this data on the same graph and comment on any trend. Is the area growing? Is the retail sector growing? ili. Show a breakdown of yearly expenses on a suitable graph. Cam industries has asked for what percentage the salaries contribute to the total expenses. iv. Calculate a depreciation schedule for each of the depreciating assets. How much can Cam industries claim in depreciation for the close of the 2021-22 financial year? Part 2 - Revenue Cam industries are selling a webcam for work at home companies using this Smithfield-Wetherill park plant. This is a new service they are starting so no other data is available on this product. They also will provide a service designing and installing camera security systems. This is an old part of their business, so Cam industries has provided some previous sales data for you. The cost of manufacturing the webcam is $15.29 in parts and $10.70 in consumables per webcam and $2.01 in running costs. The plant is set up to produce 60 webcams per week. The profit for the security camera system sales depends on the tier sold (excluding GST) Small systems $400 + $100 installation fee Medium systems $700 + $150 installation fee Large systems $1200 + $200 installation fee The security systems sales data for 2018-19 and 2019-20 is provided: Security system sales Year Month Small Medium Large 2018-19 July 19 8 August 18 8 8 September 18 12 8 October 19 15 7 November 20 13 8 December 22 9 6 January 18 10 9 February 27 9 4 March 30 10 6 April 27 13 11 May 23 15 5 June 24 11 9 2019-20 July 17 14 9 August 21 12 11 September 19 8 7 October 28 10 10 November 29 14 9 December 21 10 8 January 27 14 10 February 25 u 9 March 29 12 8 April 26 11 8 27 13 9 May i. Construct an ungrouped frequency distribution of the numbers of sales of security systems (separated by small, medium, and large systems). Show the cumulative frequency on your table. Find the mean, median and lower quartile of this data. ii. If the mean number of security systems are sold per month, how much revenue is expected per year? ii. If Cam industries sells the mean number of security systems each month in addition to the webcams, what price (excluding GST) must the webcams be sold at to break-even over the 2021-22 financial year, assuming the plant is run at full production capacity for the entire year, and they sell all webcams produced (60 units per week)? (Expenses are shown on page 3. Remember that depreciation is an expense). iv. Cam industries wants to sell the webcams at $92 profit per webcam. What is the sale price per webcam after GST is added? What do you expect the annual profit of the webcams to be if all produced units are sold at this profit margin? Cam industries believes they need to make an annual profit of $150,000 for the business to effectively grow. Show how far off this goal Cam industries are, if the sale price of the webcams is set to a profit of $92 per webcam, and they continue to sell security systems at the mean rate per month vi. Advise Cam industries what production (units) per week, or webcam price (before GST), would be required to reach their profit target. V. Cam industries is a company that makes and sells security camera systems for other businesses. They have provided the following information for you: Expenses (excluding GST) Sales staff: 2 positions, $55,000 annual salary each (including superannuation). Admin' staff: 1 manager ($95,000), 1 bookkeeper ($65,000), 1 receptionist ($40,000), all salaries given are annual and include superannuation. Rent: $15,000 per month Other operating costs: $4500 per month. Assets (excluding GST) Office furniture: Cost $15,000; useful life 8 years; depreciation method prime cost; installed on 1 July 2021. Factory equipment: Cost $375,000; useful life 8 years; depreciation method prime cost; installed ready for use 31 July 2021. Computers: Cost $20,000; useful life 4 years, depreciation method diminishing value; installed ready for use 15 July 2021. Your task is as follows: ii. Part 1 - Costs i. Cam Industries want to ensure they are paying their sales staff above the mean salary for the Smithfield-Wetherill Park area. Are they doing this? Show the mean income from 2015- 2018 graphically and the range of the mean income over that time to support your answer Cam Industries is interested in the business growth in the area. Determine if the number of employing businesses with 5-19 employees is increasing or decreasing over the last 5 years in the Smithfield-Wetherill park area (use the at June 30' data on the ABS website). Compare this to the number of retail trade jobs over the same time period. Show this data on the same graph and comment on any trend. Is the area growing? Is the retail sector growing? ili. Show a breakdown of yearly expenses on a suitable graph. Cam industries has asked for what percentage the salaries contribute to the total expenses. iv. Calculate a depreciation schedule for each of the depreciating assets. How much can Cam industries claim in depreciation for the close of the 2021-22 financial year? Part 2 - Revenue Cam industries are selling a webcam for work at home companies using this Smithfield-Wetherill park plant. This is a new service they are starting so no other data is available on this product. They also will provide a service designing and installing camera security systems. This is an old part of their business, so Cam industries has provided some previous sales data for you. The cost of manufacturing the webcam is $15.29 in parts and $10.70 in consumables per webcam and $2.01 in running costs. The plant is set up to produce 60 webcams per week. The profit for the security camera system sales depends on the tier sold (excluding GST) Small systems $400 + $100 installation fee Medium systems $700 + $150 installation fee Large systems $1200 + $200 installation fee The security systems sales data for 2018-19 and 2019-20 is provided: Security system sales Year Month Small Medium Large 2018-19 July 19 8 August 18 8 8 September 18 12 8 October 19 15 7 November 20 13 8 December 22 9 6 January 18 10 9 February 27 9 4 March 30 10 6 April 27 13 11 May 23 15 5 June 24 11 9 2019-20 July 17 14 9 August 21 12 11 September 19 8 7 October 28 10 10 November 29 14 9 December 21 10 8 January 27 14 10 February 25 u 9 March 29 12 8 April 26 11 8 27 13 9 May i. Construct an ungrouped frequency distribution of the numbers of sales of security systems (separated by small, medium, and large systems). Show the cumulative frequency on your table. Find the mean, median and lower quartile of this data. ii. If the mean number of security systems are sold per month, how much revenue is expected per year? ii. If Cam industries sells the mean number of security systems each month in addition to the webcams, what price (excluding GST) must the webcams be sold at to break-even over the 2021-22 financial year, assuming the plant is run at full production capacity for the entire year, and they sell all webcams produced (60 units per week)? (Expenses are shown on page 3. Remember that depreciation is an expense). iv. Cam industries wants to sell the webcams at $92 profit per webcam. What is the sale price per webcam after GST is added? What do you expect the annual profit of the webcams to be if all produced units are sold at this profit margin? Cam industries believes they need to make an annual profit of $150,000 for the business to effectively grow. Show how far off this goal Cam industries are, if the sale price of the webcams is set to a profit of $92 per webcam, and they continue to sell security systems at the mean rate per month vi. Advise Cam industries what production (units) per week, or webcam price (before GST), would be required to reach their profit target. V