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What the expected total costs and expected costs per unit

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A company estimates that its total cost to send out invoices, receive payments, deposit the payments, and update accounting records was $18 per sale in 2014. In 2014, there were 20,000 sales and fixed costs of $200,000. In 2015, the company expects total fixed costs and variable costs per unit to be the same as in 2014. If the company budgets 21,000 sales in 2015, what are the expected total costs and expected costs per unit for 2015?

Assume the same facts as in part a, except the company expects 19,000 sales in 2015. What are the expected total costs and expected costs per unit for 2015?

Reference no: EM132020740

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