Question
Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental,
Hannah Ortega is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $16,500. The booth will be open 33 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $172 per package. She will continue to sell the existing product, EZRecords, which costs $97 per package. Ms. Garcia believes that the salesperson will spend approximately 23 hours selling EZRecords and 10 hours marketing ProOffice. Required Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 77 units of EZRecords and 48 units of ProOffice. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 190 units of EZRecords and 90 units of ProOffice.
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