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Revisit the current operation of Andre's Hair Styling (study problem 2-44): Revisit the current operation of Andre's Hair Styling (study problem 2-44): haircut price -
Revisit the current operation of Andre's Hair Styling (study problem 2-44):
Revisit the current operation of Andre's Hair Styling (study problem 2-44): haircut price - $12.00 barber salaries - S9.90 per hour, 5 barbers, 40 hours per week, 50 weeks per year annual miscellaneous fixed costs - $21,000 Andre is considering the following plan, in which he would raise haircut prices and barber salaries. In addition, annual miscellaneous fixed costs are expected to increase: increase in haircut price - $1.25 increase in barber salaries - $0.95 per hour increase in annual miscellaneous fixed costs - $17, 835 Although Andre thinks that he will get the same number of customers with this new plan as with his current operation, he is uncertain what that number will be. How many customers would make Andre indifferent between the two alternatives? _______Step by Step Solution
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