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Digital Printing Company currently leases its only copy machine for $1,400 a month. The company is considering replacing this leasing agreement with a new
Digital Printing Company currently leases its only copy machine for $1,400 a month. The company is considering replacing this leasing agreement with a new contract that is entirely commission based. Under the new agreement, Digital would pay a commission for its printing at a rate of $25 for every 500 pages printed. The company currently charges $0.19 per page to its customers. The paper used in printing costs the company $0.02 per page and other variable costs, including hourly labor, amount to $0.09 per page. Read the requirements.
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