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Sandra s Cutting Station is a new concept in haircuts; low cost and very quick. Set in a local mall, Jenny s offers 1 5
Sandras Cutting Station is a new concept in haircuts; low cost and very quick. Set in a local mall, Jennys offers minute haircuts for harried shoppers who do not have time for lengthy appointments. To ensure that the clients are in and out quickly, she schedules her employees based on expected client traffic. Each of the employees is paid $per month, with part of their pay coming from client tips. Jenny pays rent and overhead costs of $per month. Because of the quick nature of the service, Sandra doesnt have time to clean combs in between clients, so she uses a new comb for each customer, at a cost of $each. She also provides shampoo and conditioner for each client at a cost of $per client. The average price for a haircut is $ Sandra pays herself $ per month. What is Sandra contribution margin ratio?
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