Question
Rhiannon is debating whether to continue working out of a makeshift office/store in her basement as opposed to a store in the city. Her home
Rhiannon is debating whether to continue working out of a makeshift office/store in her basement as opposed to a store in the city. Her home expenses total $1,000 a month and she estimates her basement takes 40% of the home's available space. A store would cost $2,000 per month, but grow sales by 75% (80% of the sales would now be in person). If she decides to go in this direction, Rhiannon plans to hire a part-time helper who would produce 1,000 rings per year. Rhiannon estimates that this worker would work 250 hours a year at a rate of $16 per hour. Rhiannon is wondering about the costbenefit analysis of going in this direction. She is also wondering how she might evaluate the helper's performance once she has actual sales and expense numbers. Also, she wants some insight on the best ways to discuss performance with employees.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started