Finch Academy is a profit-oriented education business. Finch provides remedial training for high school students who have fallen behind in their classroom studies. It charges its students $1,100 per course. During the previous year, Finch provided instruction for 1,000 students. The income statement for the company follows: Revenue Cost of instructors Overhead costs Net income $1,100,000 (646,000) (245,000) $ 209,000 The company president, Andria Rossi, indicated in a discussion with the accountant, Sam Trent, that she was extremely pleased with the growth in the area of computer-assisted instruction. She observed that this department served 200 students using only two part- time instructors. In contrast, the classroom-based instructional department required 32 instructors to teach 800 students. Ms. Rossi noted that the per-student cost of instruction was dramatically lower for the computer-assisted department. She based her conclusion on the following information: Finch pays its part-time instructors an average of $19,000 per year. The total cost of instruction and the cost per student are computed as follows: Type of Instruction Number of instructors (a) Number of students (b) Total cost (cax $19,000) Cost per student (c b). Computer-Assisted Classroom 2 32 200 800 $38,000 $608,000 $ 190 $ 760