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What is the total relevant cost related to mega-comm

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Question - The Thomopolis Corporation, an online public relations firm, already offers its two hundred employees free internet access for home use provided by Mega-Comm. The following total costs are related to the contract between the two companies (a) initial total membership fee $500 (b) total monthly service charge $9,100 and (c) early contract cancellation fee $3,500. The company is considering switching to another provider, Magno-ISP, which would simply charge $45 per employee per month with no contract. The company intends to offer its employees this benefit for the next two years. For this decision, what is the total relevant cost related to each internet provider?

1) For the Thomopolis Corporation, for this decision, what is the total relevant cost related to Mega-Comm?

2) For the Thomopolis Corporation, for this decision, what is the total relevant cost related to Magno-ISP?

Reference no: EM131761325

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