Question
Vin Diesel owns the Novak barber shop he employs 7 Barbers and pays each a base rate of $1,440 per month one of The Barbers
Vin Diesel owns the Novak barber shop he employs 7 Barbers and pays each a base rate of $1,440 per month one of The Barbers serves as a manager and receives an extra $520 per month in addition to the base right each Barber also receives a commission of $4.50 per haircut other costs are as follows advertising $300 per month rent $930 per month barber supplies $0.30 per haircut utilities $185 per month plus $0.20 per haircut magazines $30 per month then currently charges $10 per haircut determine the variable cost per haircut and the total monthly fixed cost compute the break-even point in units and in dollars, determine net income assuming 2460 haircuts are given in a month.
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