Shamrock Office Supplies is interested in estimating the cost involved in hiring new employees. The following information is available regarding the costs of operating the Human Resource department at Shamrock Office Supplies in May, when there were 64 new hires:

Human Resources Department
May
Staff wages		$31,360
Manager salary		7,240
Office supplies		320
Depreciation of office equipment		440
Share of building cost (based on square feet occupied by Human Resources)
		1,540
Total		$40,900

Use account analysis to determine fixed cost per month and variable cost per new hire. Assume that only staff wages and office supplies are variable costs.

Fixed Cost		$	per month
Variable Cost		$	per new hire

The company is planning to hire 76 employees in June. Estimate the total cost of Human Resources for June.

Total cost of Human Resource

$

What is the expected incremental cost associated with hiring 12 more employees than were hired in May?

Expected incremental cost

$