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Jason is considering opening a Fast 'n Clean Car Service Center. He estimates that the following costs will be incurred during his first year of

Jason is considering opening a Fast 'n Clean Car Service Center. He estimates that the following costs will be incurred during his first year of operations: Rent $9.200, Depreciation on equipment $7,000, Wages $16,172, Motor oil $2 per quart. He estimates that each oil change will require 5 quarts of oil. Oil filters will cost $3.00 each. He must also pay The Fast 'n Clean Corporation a franchise fee of $1.10 per oil change since he will operate the business as a franchise. In addition, utility costs are expected vary with the quantity of oil changes as follows: Quantity of Oil Changes Utility Costs 6,300 $15.184 8,300 $18,800 11,300 $21,100 14,300 $24,100 18,600 $26,500 Jason anticipates that he can provide the oil change service with a filter at $42.86 each Your answer has been saved. See score details after the due date. Using the high-low method, determine variable costs per unit and total fixed costs. (Round variable cost to 2 decimal places, e.g. 52.75.) Variable cost $ 0.92 per unit Fixed cost $ 9388 Determine the break-even sales quantity of oil changes and sales dollars. (Round Contribution margin ratio to 2 decimal places, e.g. 57.20%. Round final answers to 0 decimal places, e.g. 5720) Break-even oil changes in units Break-even sales in dollars Save for Later $ Attempts: 0 of 1 used Submit

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