Sandhill Diesel owns the Fredonia Barber Shop. He employs 7 barbers and pays each a base rate of $1,650 per month. One of the barbers serves as the manager and receives an extra $500 per month. In addition to the base rate, each barber also receives a commission of $5.50 per haircut. Other costs are as follows.
Advertising $260 per month
Rent $800 per month
Barber supplies $0.30 per haircut
Utilities $185 per month plus $0.20 per haircut
Magazines $20 per month
Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e. g. 2.25.)
Total variable cost per haircut $
Total fixed $
Answers: 1
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Sandhill Diesel owns the Fredonia Barber Shop. He employs 7 barbers and pays each a base rate of $1,...
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