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Each year, Sunshine Motos surveys 7 , 5 0 0 former and prospective customers regarding satisfaction and brand awareness. For the current year, the company
Each year, Sunshine Motos surveys former and prospective customers regarding satisfaction and brand awareness. For the current year, the company is considering outsourcing the survey to Global Associates, who have offered to conduct the survey and summarize results for $Craig Sunshine, the president of Sunshine Motors, believes that Global will do a higherquality job than his company has been doing, but is unwilling to spend more than $ above the current costs. The head of bookkeeping for Sunshine has prepared the following summary of costs related to the survey in the prior year.
Mailing $
Printing done by Lester Print Shop $
Salary of Pat Fisher, parttime employee who stuffed envelopes and summarized data when surveys were returned
hours X $ $
Share of depreciation of computer and software used to track survey responses and summarized results. $
Share of electricityphoneetc based on square feet of space occupied by Pat Fisher vs entire company. $
REQUIRED: What is the incremental cost of going outside versus conducting the survey as in the past?
Round to two decimal places.
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