the fashion shoe

The Fashion Shoe Company operates a chain of women's shoe shops that carry many styles of shoes that are alsold at the same price. Sales personnel in the shops are paid a substantial commission on each pair of shoes sold (in addition to a small base salary) in order to encourage them to be aggressive in their sales efforts. The following worksheet contains cost and revenue data for Shop 48 and is typicalof the company's many outlets Per Pair of Shoes Selling price 30.00 Variable expenses: Invoice cost 13.50 4,50 Sales commission Total variable expenses 18.00 Annual Fixed expenses: 30,000 Advertising 20.000 Rent 100,000 Salaries 150.000 Total fixed expenses