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Question - Hannah Ortega 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 $6,600. The booth will be open 20 hours during the trade show. Ms. Ortega also plans to add a new product line, ProOffice, which will cost $189 per package. She will continue to sell the existing product, EZRecords, which costs $92 per package. Ms. Ortega believes that the salesperson will spend approximately 10 hours selling EZ Records and 10 hours marketing ProOffice.
Required -
Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 90 units of EZRecords and 57 units of ProOffice.
Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 191 units of EZRecords and 109 units of ProOffice.
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