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Unformatted text preview: c. Y = [($3,000 + $6,000 + $1,000)/5,000] = $2X d. Y = $15,000 e. Y = $15,000 + $5X + $8X + $2X Y = $15,000 + $15X 2. a. Y = $5(6,000) = $30,000 b. Y = $8(6,000) = $48,000 c. Y = $2(6,000) = $12,000 d. Y = $15,000 e. Y = $15,000 + $15(6,000) = $105,000 3. Y = $15,000 + $15(5,000) = $90,000 (total cost) Unit cost = $90,000/5,000 = $18.00 4. Unit cost = $105,000/6,000 = $17.50 The per unit cost decreases because the fixed costs are spread over a larger number of clients. 5. Clearly, the price must be at least equal to the cost of servicing. The price should also include a profit component....
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 Three '09
 Helen

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