Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer A, B, and D T A P18-1A Vin Diesel owns the Fredonia Barber Shop. He employs four barbers and each a base rate

please answer A, B, and D image text in transcribed
T A P18-1A Vin Diesel owns the Fredonia Barber Shop. He employs four barbers and each a base rate of $1,250 per month. One of the barbers serves as the manager pa receives an extra $500 per month. In addition to the base rate, each barber also receives a ger and commission of $4.50 per haircut. Other costs are as follows. $200 per month $1,100 per month $0.30 per haircut $175 per month plus $0.20 per haircut $25 per month Advertising Rent Barber supplies Utilities Magazines Vin currently charges $10 per haircut Instructions (a) Determine the variable costs per haircut and the total monthly fixed costs. (b) Compute the break-even point in units and dollars (c) Prepare a CVP graph, assuming a maximum of 1,800 haircuts in a month. Use incre ments of 300 haircuts on the horizontal axis and $3,000 on the vertical axis. (d) Determine net income, assuming 1,600 haircuts are given in a month

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Aat Management Accounting Budgeting

Authors: BPP Learning Media

1st Edition

1509718400, 978-1509718405

More Books

Students also viewed these Accounting questions