United States Motors Incorporated $($USMI$)$ manufactures automobiles and light trucks and distributes them for sale to consumers

through franchised retail outlets. As part of the franchise agreement, dealerships must provide monthly financial statements following

the USMI accounting procedures manual. USMI has developed the following financial profile of an average dealership that sells $1,800$

new vehicles annually:

USMI is considering a major expansion of its dealership network. The vice president of marketing has asked Jack Snyder, corporate

controller, to develop some measure of the risk associated with the addition of these franchises. Jack estimates that $90\%$ of the mixed

costs shown are variable for purposes of this analysis. He also suggests performing regression analyses on the various components of

the mixed costs to more definitively determine their variability.

Required:

Calculate the composite dealership profit if $2,450$ units are sold.