Planet currently sends monthly bills to its customers via the postal service. Because of a concern for the environment and recent increases in postal rates, Planet management is considering offering an option to its customers for paperless billing. In addition to saving printing, paper, and postal costs, paperless billing will save energy and water (through reduced paper needs, waste disposal, and transportation needs). While Planet would like to switch to 100% paperless billing, many of its customers are not comfortable with paperless billing or may not have online access, so the paper billing option will remain regardless of whether or not Planet adopts a paperless billing system. The cost of the paperless billing system would be $165,800 per quarter with no visia natenines that aftha muntarihlerinnnfthannels and the 9uuuwvuuuuPopu, uQuv, needs). While Planet would like to switch to 100% paperless billing, many of its customers are not comfortable with paperless billing or may not have online access, so the paper billing option will remain regardless of whether or not Planet adopts a paperless billing system. The cost of the paperless billing system would be $165,800 per quarter with no variable costs since the costs of the system are the salaries of the clerks and the cost of leasing the computer system. The paperless billing system being proposed would be able to handle up to 1,050,000 bills per quarter (more than 1,050.000 bills per quarter would require a different computer system and is outside the scope of the current situation at Planet). Planet Entertainment is a provider of cable, Internet, and on-demand video Click the icon to view additional information) ces. Planet has gathered its cost data for the past year by quarter for paper, toner cartridges, printer maintenance costs, and postage costs for the billing department (Click the icon to view the cost data.) Read the requirements Requirement 1. Calculate the variable cost per bill mailed under the current paper-based billing system. Use the high-low method. The variable cost per bil mailed under the current paper-based billing system is S L Requirement 2. Assume that the company projects that it will have a total of 800,000 bills to mail in the upcoming quarter. If enough customers choose the paperless billing option so that 35% of the mailings can be converted to paperless, how much would the company save from the paperless billing system (be sure to consider the cost of the paperless billing system)? The cost data are as follows: Quarter 1 Quarter 2 Quarter 3 Quarter 4 672,700 $ 695,000 $ 800,000 $ 700,000 Total paper, toner, printer maintenance, and postage costs Total number of bills mailed 550,000 575,000 740,000 600,000 Requirements Calculate the variable cost per bill mailed under the current paper-based billing system. Use the high-low method. Assume that the company projects that it will have a total of 800,000 bills to mail in the upcoming quarter. If enough customers choose the paperless billing option so that 35% of the mailings can be converted to paperless, how much would the company save from the paperless billing system (be sure to consider the cost of the paperless billing system)? What if only 30% of the mailings are converted to the paperless option (assume a total of 800,000 bills)? Should the company still offer the paperless billing system? Explain your rationale. Planet Entertainment is a provider of cable, Internet, and on demand video services (Click the icon to view additional information) Planet has gathered its cost data for the past year by quarter for paper, toner cartridges, printer maintenance costs, and postage costs for the billing departi (Click the icon to view the cost data) Read the requirements The company would saves by using the paperless billing system Requirement 3. What if only 30% of the mailings are converted to the paperless option (assume a total of 800,000 bits)? Should the company still offer the paperless biling system? Explain your rationale offer the paperless If only 30% of the mailings are converted to the paperless option, the company biling system because the company by using the paperless billing system Choose from any list or enter any number in the input fields and then continue to the next