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Rooney Banks start-up division establishes new branch banks. Each branch opens with three tellers. Total teller cost per branch is $99,000 per year. The three
Rooney Banks start-up division establishes new branch banks. Each branch opens with three tellers. Total teller cost per branch is $99,000 per year. The three tellers combined can process up to 90,000 customer transactions per year. If a branch does not attain a volume of at least 60,000 transactions during its first year of operations, its is closed. If the demand of services exceeds 90,000 transactions, an additional teller is hired and the branch is transferred from the start-up division to regular operations
Tunero Complete this question by entering your answers in the tabs below. Required A Required B Required C What is the relevant range of activity for new branch banks? (Enter the lower end of the relevant ran The relevant range is transactions Required Required B > to search Illuye lene Lust per branch for Rooney Bank, assuming DIVISION operates 25, 30, 35 or 40 branches. In this case (the activity base is the number of branches), is the telle variable cost? Complete this question by entering your answers in the tabs below. Required A Required B Required C Determine the amount of teller cost in total and the average teller cost per branch for Rooney Bank, assuming that the start up division operates 25, 30, 35 or 40 branches. In this case (the activity base is the number of branches), is the taller costa fixed or a variable cost? 25 30 35 No. of Branches Teller costs per branch Total teller cost The teller cost is a Required B Required ) searchStep by Step Solution
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