income if he changes the service rate that the firm charges its customers. The following basic data pertain to fiscal Year $1$:

$\backslash$table$[[$Standard rate and variable costs,$],[$Service rate per hour,$62\mathrm{.}00],[$Labor cost$,32\mathrm{.}00],[$Overheaf cost$,5\mathrm{.}55],[$Selling$,$ general, and administrative cost,$3\mathrm{.}40],[$Expected fixed costs,$$320,000$