The Valley Voice is a local newspaper that is published Monday through Friday it sells 91000 copies day. The paper is currently in a profit squeeze, and the publisher, Tom Turkey, s. looking for ways to reduce expenses A review of current distribution procedures reveals that the Valley Voice employs 10 truck drivers to drop off bundles of newspapers 10 1305 teenagers who deliver papers to individual homes. The drivers are paid on tourly wage while the teenagers receive 4 cents for each paper they deliver Turkey is considering an alternative method of distributing the papers, which he says has worked in other cities the size of Flower Mound (where the Valley Voice is published Under the new system, the newspaper would retain 20 truck drivers to transport papers to live distribution centers around the city. The distribution centers are operated by independent contractors who would be responsible for making their own arrangements to deliver papers to subscribers homes. The 20 drivers retained by the Valley Voice would receive the same hourly rate as they currently earn and the independent contractors would receive 20 cents for each paper delivered 2. Assume the following information a. The average driver earns $42.500 per year b. Average employee income tax withholding is 15 percent c. The social security tax is 62 percent of the first $39.900 of things d. The Medicare taxis 145 percent of all earnings e. The state unemployment taxis 5 percent, and the federal unemployment tax 06 percent of the first $7000 of earnings Workers' compensation insurance is 70 cents per $100 of wages 9. The paper pays $325 per month for health insurance for each vor and contributes $260 per mon to each rivers pension plon h. The paper has liability insurance coverage for all teenage carriers that costs $102.000 per year Prepare a schedule showing the couts of distributing the newspapers under the current system and me proposed new system Complete this question by entering your answer in the tabs below. Durtere hooned wisdom Analysis The Valley Voice is a local newspaper that is published Monday through Friday it sells 91000 copies day. The paper is currently in a profit squeeze, and the publisher, Tom Turkey, s. looking for ways to reduce expenses A review of current distribution procedures reveals that the Valley Voice employs 10 truck drivers to drop off bundles of newspapers 10 1305 teenagers who deliver papers to individual homes. The drivers are paid on tourly wage while the teenagers receive 4 cents for each paper they deliver Turkey is considering an alternative method of distributing the papers, which he says has worked in other cities the size of Flower Mound (where the Valley Voice is published Under the new system, the newspaper would retain 20 truck drivers to transport papers to live distribution centers around the city. The distribution centers are operated by independent contractors who would be responsible for making their own arrangements to deliver papers to subscribers homes. The 20 drivers retained by the Valley Voice would receive the same hourly rate as they currently earn and the independent contractors would receive 20 cents for each paper delivered 2. Assume the following information a. The average driver earns $42.500 per year b. Average employee income tax withholding is 15 percent c. The social security tax is 62 percent of the first $39.900 of things d. The Medicare taxis 145 percent of all earnings e. The state unemployment taxis 5 percent, and the federal unemployment tax 06 percent of the first $7000 of earnings Workers' compensation insurance is 70 cents per $100 of wages 9. The paper pays $325 per month for health insurance for each vor and contributes $260 per mon to each rivers pension plon h. The paper has liability insurance coverage for all teenage carriers that costs $102.000 per year Prepare a schedule showing the couts of distributing the newspapers under the current system and me proposed new system Complete this question by entering your answer in the tabs below. Durtere hooned wisdom Analysis
