Answered step by step
Verified Expert Solution
Question
1 Approved Answer
need help please Penny Hassan runs the Shear Beauty Salon near a college campus. Several months ago, Penny used some unused space at the back
need help please
Penny Hassan runs the Shear Beauty Salon near a college campus. Several months ago, Penny used some unused space at the back of the salon and bought two used tanning beds. She hired a receptionist and kept the salon open for extended hours each week so that tanning clients would be able to use the benefits of their tanning packages. After three months, Penny wanted additional information on the costs of the tanning area. She accumulated the following data on four accounts: Penny decided that wages and equipment depreciation were fixed, She thought supplies and maintenance would vary with the number of tanning visits and that electricit would vary with the number of tanning minutes. Required: 1. Calculate the average account balance for each account. Calculate the average monthly amount for each of the two drivers. (Round all answers to the nearest. dollar or the nearest whole unit.) Use your rounded answers in all subsequent computations. 2. Calculate fixed monthly cost and the variable rates for the account averages. Round your answers to the nearest cent and use your rounded answers in all subsequent computations. Express the results in the form of an equation for total cost. (Round to the nearest cent.) 1 3. In April, Penny predicts there will be 333 visits for a total of 3,780 minutes. What is the total cost for April? If required, round your answer to the nearest dollar. 3 4. Suppose that Penny decides to buy a new tanning bed at the beginaing of April for $6,240. The tanning bed is expected to last four years and will have no salvage value at the end of that time. What will be the new equation for total cost? If required, round your answers to the nearest cent. Cost =5 (visit) +5 (minute) What is the new expected cost in April based on the prediction provided in Requirement 3 (above)? When required, round your answer to the nearest dollar Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started