T # $2$

uestion $1$ of $2$

$\frac{-}{10}vdot{s}^{\text{v}\text{d}\text{o}\text{t}\text{s}}$

Robert Diesel owns the Fredonia Barber Shop. He employs $5$ barbers and pays each a base salary of $$1,530$ per month. One of the barbers serves as the manager and receives an extra $$570$ per month. In addition to the base salary, each barber also receives a commission of $$5\mathrm{.}35$ per haircut.

Other costs are as follows.

Advertising

$$270$

per month

Rent

$$1,100$ per month

Barber supplies

$$0\mathrm{.}40.$ per haircut

Utilities

$$190$ per month plus $$0\mathrm{.}25$ per haircut

Magazines

Robert currently charges $$15\mathrm{.}00$ per haircut.

Determine the unit variable costs per haircut and the total monthly fixed costs. $($Round variable costs to $2$ decimal places, e$.$g$.2\mathrm{.}25.)$

Total unit variable cost per haircut $

Total fixed costs

$$30$ permonth

Break$-$even point sales

$

Determine net income, assuming $1,540$ haircuts are given in a month.

Net income

$