in] El 3 Ace 202 Milestone One Operational Costs Data Appendix [23 7 Compatibility Mode Draw ' - , -' Share Comments cai'b\" ' " " "" - ' - ' gamma unmade: announce mods. mouse asoCchze aBb ' :-. ___ _ .' _ '_ Nomi No SWEIIII Hitlll1 III 2 ill-dill] 3 ll] 9 \"III 'i'ou plan to open a small business for manufacturing pet collars, leashes, and harnesses. You have found a workshop space you can use for sewing your products. After some research and planning, you have estimates for the various operating costs for your business. The total square footage for the sewing rooms is 1,500 square feet broken into three areas [500 square feet each). You have taken out a loan for start-up costs, and the monthly payment is $550; It goes into effect immediately and should be accounted for in your costs. You will also collect a modest salary for the first year of $500 per month; remember to divide evenly among the services. Salary and Illrlnl Data 0 One collar maker, who will be paid $16.00 per hour and work 40 hours per week 0 One leash maker, who will be paid $16.00 per hour and work w hours per week 0 One harness maker, who will he paid $17.00 per hour and work 40 hours per week I One receptionist, who will be paid $15.00 per hour and work 30 hours per week other Costs 0 Rent: $750 per month; allocate based on square footage I High-tensile strength nylon webbing512 per yard of webbing o 3 collars per yard of webbing o 2 leashes per yard ofwebbing o 2 harnesses per yard of webbing Polyesterp'nylon ribbons$9 per yard of ribbon o 3 collars per yard of ribbon o 2 leashes per yard of ribbon o 2 harnesses per yard of ribbon Buckles made of cast hardware$0.50 per buckle o 4 buckles used per collar 0 3 buckles used per leash o a buckles used per harness 3 industrial sewing machines at $3,300 each for a total of $9,900; depreciation is 5165 per month [5- year life, zero salvage value) Utilities and insurance: 5600 per month; allocate based on square footage Scissors, thread, cording: $1,200 Price tags: 5250 for 2,500 ($0.10 each] Ofce supplies: $2,400 or $200 per month Other business equipment: $2,000 Loan payment of 5550 per month AutoSave . OFF A BEC ... ACC 202 Project Workbook (75) (1) Q Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Calibri 10 9 Wrap Text v Accounting T V IN Paste BIUv A Merge & Center v $ ~ % Conditional Format Cell Insert Delete Format Sort & Find & Analyze Formatting as Table Styles Filter Select Data B9 X fx D G H M N 0 Q U W AA Milestone Two - Contribution Margin Analysis COLLARS LEASHES HARNESSES Sales Price per Unit 24.00 26.00 S 30.00 Variable Cost per Unit Contribution Margin Cost Classification Variable and Fixed Costs Contribution Margin Analysis Break-Even Analysis COGS Income Statement Variances + Ready 100%