Hazel and two college friends are preparing to open a tax consulting rm targeting small and medium-sized corporate clients. To provide convenience for clients, the ofce will be open 360 days a year from 07.00 am to 23.00 pm. The office will have accountants, tax staff, secretaries and receptionists for each shift of two shifts of 8 hours each per day. Hazel uses a marketing consultant to help project market prospects. The result of a study conducted by a marketing consultant is that if the company spends Rp. 980 million on advertising in the rst year, the number of new clients is expected to be 50 clients per day. Hazel and her colleagues felt the amount was acceptable and were ready to allocate Rp 980 million for advertising. Other important information related to office operations is as follows: ' Each new client will be charged a fee of IDR 60,000 for the initial consultation. All client cases that require further legal treatment will be accepted on a conditional basis where the company will get 30% of the settlement of cases won by the client. Hazel estimates that 20% of new client consultations will achieve the client's desired results with an average settlement value of IDR 4,000,000 per client. Hazel didn't expect any client to request consulting services more than once in the first year. The hourly salary rate for staff is IDR 50,000 for accountants, IDR 40,000 for tax staff, IDR 30,000 for the secretary, and Rp 20,000 for the receptionist. The allowance expense is 40% of the salary paid. The number of overtime hours is estimated at 400 hours for one year and is divided equally for secretaries and receptionists. The overtime rate is 150% of the normal salary rate, and the burden of benefits will be calculated on the total salary paid. Hazel has found an office location with an area of 6,000 mzwith a rental fee of IDR 56,000 per maper year. The annual costs related to office rental are property insurance costs of Rp. 54 million and electricity and water costs of Rp. 74 million. The company needs to take out malpractice insurance for IDR 360 million per year. Equipment investment is estimated at Rp 120,000,000. The estimated useful life of the equipment is 4 years. The cost of office supplies is estimated at IDR 8,000 per new client consultation. Requested: 1. How many new clients must be acquired in the first year to break even? (7.5%) 2. If Hazel wants to earn a net profit after tax of IDR 1.2 billion. How many new clients must be acquired in the first year? Corporate income tax rate 25% (7.5%) 3. Hazel is considering lowering the initial consultation price for new clients from only IDR 60,000 per client in order to attract more potential new clients. How much price reduction can you propose if the other data do not change and the company wants to keep its net profit after tax target of IDR 1.2 billion? (7.5%) 4. Hazel got an offer from a well-known celebgram to help promote the company's consulting services with a commission payment system of IDR 50,000 for each new client obtained through the celebgram. By using this promotion method, the company must spend funds for maintenance costssocial mediaandothers in the amount of IDR 100 million per year. Provide an analysis of recommendations whether the company should use this promotion method if it is assumed that other costs have not changed. (7.5%)