Question
Vin Diesel owns the Fredonia Barber Shop. He employs5barbers and pays each a base rate of $1,510per month. One of the barbers serves as the
Vin Diesel owns the Fredonia Barber Shop. He employs5barbers and pays each a base rate of $1,510per month. One of the barbers serves as the manager and receives an extra $550per month. In addition to the base rate, each barber also receives a commission of $5.61per haircut.
Advertising$250per monthRent$960per monthBarber supplies$0.39per haircutUtilities$170per month plus $0.38per haircutMagazines$25per month
Vin currently charges $11.38per haircut.
Please help me fiqure out the variable costs per haircut and the total monthly fixed costs.(Round variable costs to 2 decimal places, e.g. 2.25.)
Total variable cost per haircut$ ___________
Total fixed_________
Compute the break-even point in units and dollars.(Round answers to 0 decimal places, e.g. 1,250.)
break even point ___________haircuts
break even point _______$
Determine net income, assuming2,460haircuts are given in a month.
Net income / (Loss)____________
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started