Test 2 Chapters 16 17 18 (03232020) revised (page 3 of 6) Q Search ECB 118: Principles of Accounting 2 - Test on Chapters 16, 17, & 18 4. Complete the Break-Even problem. Show your work. Show the details. (25 points) Data /Budget: 1. Employee A: $ 60,000 base salary plus 25% Benefits 2. Employee B: $ 70,000 base salary plus 25% Benefits 3. Employee C: $ 80,000 base salary plus 25% Benefits 4. Part-time Researcher: Earns $ 20 per hour and works an estimated 1,000 hours per year as needed. 5. Part-time Administrative Assistant: Earns $ 15 per hour and works an estimated 15 hours each week as needed. 6. 30-year mortgage for $ 60,000 at 10% interest per year? (Hint: What expense is on the IS? Ignore principle payments) 7. Straight Line depreciation on the 30-year mortgage? (Hint: What is annual straight line depreciation expense on the IS?) 8. Fixed Office Expenses are $ 100,000. 9. Variable Office Expenses are $ 150,000. 10. Your company's Consulting Revenue rate is $ 250 per hour. 11. Estimated consulting hours worked each year are 1,500 hours. 12. Desired profit is $ 50,000. Solve: (Show Details) 1. Total Fixed Costs? 2. Total Variable Costs? 3. Variable Costs per Unit? 4. Prepare a Contribution Margin Statement using the budgeted data. (Show Detailed statement) 5. Break-Even Consulting hours needed to work yearly without profit? 6. Consulting hours per week you will need to bill? 7. Break-Even Consulting hours needed to work yearly to make your profit goal of $ 50,000? 8. Consulting hours per week you will need to bill to make your yearly profit goal of $ 50,000? 9. Verify / Proof of Break-Even without profit using the Contribution Margin Statement. C Show De talep 10. Verify / Proof of Break-Even with profit using the Contribution Margin Statement. Statements)