Edward Diesel owns the Fredonia Barber Shop. He employs 4 barbers and pays each a base salary of $1,440 per month. One of the barbers serves as the manager and receives an extra $520 per month. In addition to the base salary, each barber also receives a commission of $9.15 per haircut. Other costs are as follows.

Advertising		$240	per month
Rent		$1,100	per month
Barber supplies		$0.35	per haircut
Utilities		$185	per month plus $0.10 per haircut
Magazines		$35	per month

Edward currently charges $16.00 per haircut.

Determine the unit variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.)

Total unit variable cost per haircut		$enter a dollar amount rounded to 2 decimal places
Total fixed costs		$enter a dollar amount

eTextbook and Media

Compute the break-even point in sales units and in sales dollars.

Break-even point		enter a number of haircuts	haircuts
Break-even point sales		$enter a dollar amount

eTextbook and Media

Determine net income, assuming 1,570 haircuts are given in a month.

Net income

$enter the net income in dollars