James House is planning on starting a cleaning services business but has not decided wh or commercial clients. His estimates of revenue, variable expenses, and fixed expenses ar Revenue Variable expense Fixed expense Residential 120 per hour 72 per hour $ 15,600 per month s 72 per hour Commercial 130 per hour 65 per hour $ 17,810 per month Required: 1. At what volume of hours per month will James be indifferent between focusing on resider Number of hd 2. Calculate the number of break-even hours for residential clients and commercial clients. (R 55 0 hours Break-even hours for residential clients Break-even hours for commercial clients hours Gulf Shore Lawn and Garden Maintenance provides two general outdoor services: lawn maintenance and garden maintenance. The company charges customers $24.0 per hour for each type of service, but lawn maintenance has higher variable costs ($14.4 per hour) than garden maintenance (572 per hour) because of fuel expenses incurred to operate lawn mowing equipment. All employees are paid a fixed monthly salary. A contribution format income statement for a recent month for the two services appears below. During the month, 8.000 hours of lawn maintenance services and 2.000 hours of garden maintenance were provided Per Garden per Maintenance Hour Maintenance Hour $ 192,00 $24.0 $ 48,000 $24.0 115,00 14.4 14,400 7.2 5 Total 240,000 129,600 Sales variable expenses Contribution margin $ 75,000 $ 9.6 $ 33,600 $16.8 110,00 Fixed expenses 51,524 Operating income 8,576 Required: 1. Compute the overal CM ratio for the company Overal corbution margin to 2. Compute the overall break-even point for the company in sales dollars