Probiems: Set A Richard Casper owns the Fredonia Barber Shop. He employs five barbers and Determine wariable and fixed ys each a base rate of $1,000 per month. One of the barbers serves as the manager and costs, compute break-even receives an extra $500 per month. In addition to the base rate, each barber also receives point, prepare a CVP graph, and determine net income. a commission of $5.50 per haircut Other costs are as follows $200 per month $900 per month $0.30 per haireut $175 per month plus $0.20 per haircut $25 per month Barber supplies Richard currently charges $10 per haircut. (a) Determine the variable cost 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 in- crements of 300 haircuts on the horizontal axis and $3,000 on the vertical axis net income, assuming 1,900 haircuts are given in a month. S-2 Lorge Company bottles and distributes Livit, a diet soft drink. The beverage is Prepare a CVP income For the year 2011, management estimates the following revenues and costs. 50 cents per 16-ounce bottle to retailers, who charge customers 75 cents per bottle atement, compute break- $1.800,000 Selling expenses-variable $70,000argin ratio margin of safety ratio, and sales for Direct materials Direct labor 30,000 Selling expenses fixed 352,000 Administrative expenses- 16,000 Administrative expenses- 283,000 ve expenses60,000 (a) Prepare a CVP income statement for 2011 based on management's estimates (b) Compute the break-even point in (1) units and (2) dollars (c) Compute the contribution margin ratio and the margin of safety ratio. (Round to full (1) 2400,000 units curatio 3446 (d) Determine the sales dollars required to earn net income of $238,000