Limited Resources You have started a small tax practice and want to limit your workload for next year to 2,000 hours. There is enough demand that you could work on just one type of return or any combination of three types of returns (individual, estate, corporate). The following data pertains to the revenues and costs of each tax area (per tax return) Individual Estate Corporate Revenue $350 $1200 $750 Variable Cost $50 $200 $150 Hours per return 2 8 Fixed costs of operating the office: $180,000 1. How should you allocate your time in the coming year to maximize your income? 2. If each return has the following demand how should you maximize your income? Individual 700 Estate 50 Corporate 100 Number of Return 3. What is the projected pre-tax income for the coming year following the demand schedule in #2? 4. What other factors should be considered