Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

E6-36 (similar to) Question Help St. Gallen American School is an international private elementary school. In addition to regular classes, after-school care is provided between

image text in transcribed
E6-36 (similar to) Question Help St. Gallen American School is an international private elementary school. In addition to regular classes, after-school care is provided between 3:00 pm and 6:00 pm at CHE 16 per child per hour. Financial results for the after-school care for a representative month month are as follows la (Click the icon to view the financial results.) The director of St. Gallen American School is considering discontinuing the after-school care services because it is not fair to the other students to subsidize the after-school care program. He thinks that eliminating the program will free up CHF 50 a month to support regular classes Read the requirements. Requirement 1. Compute the financial impact on St. Gallen American School from discontinuing the after-school care program Begin by classifying each cost as either avoidable or unavoidable. (Leave unused cells blank.) Avoidable Unavoidable i Data Table - X Revenue, 500 hours at CHF 16 per hour CHE 8,000 Less Teacher salaries CHF 5,300 i Requirements Supplies 500 Depreciation 1,700 2 Sanitary engineering 150 1. Compute the financial impact on St. Gallen American School from Other fixed costs 400 8,050 discontinuing the after-school care program. 0 CHE (50) 2. List three qualitative factors that would influence your decision. Operating income (loss)

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

Financial And Managerial Accounting

Authors: Charles T Horngren, Jr Walter T Harrison

2nd Edition

0135080193, 9780135080191

More Books

Students also viewed these Accounting questions