Janet Garcia is considering expanding her business. She plans to hire a salesperson to cover trad…

 
   

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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 $12,540. The booth will be open 33 hours during the trade show. Ms. Garcia also plans to add a new product line, ProOffice, which will cost $183 per package. She will continue to sell the existing product, EZRecords, which costs $93 per package. Ms. Garcia believes that the salesperson will spend approximately 23 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 88 units of EZRecords and 42 units of ProOffice. (Round “Cost per unit” answers to 2 decimal places.)

total costs of sales EZ=

cost per unit EZ=

total costs of sales PRO=

cost per unit PRO= b. Determine the estimated total cost and cost per unit of each product, assuming that the salesperson is able to sell 193 units of EZRecords and 95 units of ProOffice. (Round “Cost per unit” answers to 2 decimal places.)

Total costs of sales EZ=

Costs per unit EZ=

Total costs of sales PRO=

Costs per unit PRO=