Q3: CVP Analysis

The following data has been collected for the August operations ofLuna,a local beauty salon:

Required:

1.What is the cost function forLunabeauty Salon, use the table below to classify the cost outlined as either fixed or variable and then provide the total cost (TC) function in algebraic form?

August Number of appointments 1 900 Total Hair dresser salaries $18 000 Total Manicurist salaries $16 000 Supplies $ 950 Utilities $ 400 Rent $1 000 Miscellaneous $3 580