Question

Janet Garcia is considering expanding her business. She plans to hire a salesperson to cover trade shows. Because of compensation, travel expenses, and booth rental, fixed costs for a trade show are expected to be $10,120. The booth will be open 23 hours during the trade show. Ms. Garcia also plans to add a new product line, ProOffice, which will cost $175 per package. She will continue to sell the existing product, EZRecords, which costs $107 per package. Ms. Garcia believes that the salesperson will spend approximately 13 hours selling EZRecords and 10 hours marketing ProOffice.

Required: a. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 79 units of EZRecords and 50 units of ProOffice. (Round "Cost per unit" answers to 2 decimal places.)

b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 202 units of EZRecords and 103 units of ProOffice. (Round "Cost per unit" answers to 2 decimal places.)

Answer 1

Ans: 0 for €Zrecords & Total Cost * ($107 x 79 ) + ($10,120x18/e3) & $8453 + $5720 8 $14,173 79 Per (mit Cost & $14,173 :-($179.40] for prooffice o Total Cost < ($175 x5o) + (410130x1043) Sot $4400 % +13150 Per Unit Cost a $13150 so for Ez records a Total lost & ($107 x 2002) + ($10,120 x 13/3) & $21,614 + $57.86 & $27,334 | Per Unit Cost of $27, 334 313135.32 ]

for Prooffice a __Total os+6 (+ नSx (03) + (10,120 X /23) 18,०२७ + 57 44400 २२,५५७ Cost per unit a $28,495 :- ०२.१२ (03
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