Salem Telephone CompanyQuestion1:VariablePowerOperations: Hourly Personnel wagesFixedCustodial ServicesComputer LeasesMaintenanceComputer Equipment DepreciationOffice Equipment and Fixtures DepreciationOperations: Salaried StaffSystems Development and MaintenanceAdministrationSalesSales PromotionCorporate ServicesQuestion 2Figure AJanuaryFebruaryMarchQuarter IPower1546/329=4.71485/316=4.71697/361=4.74728/1006=4.7Operations: Hourly Personnel wages7896/329=247584/316=248664/361=2424144/1006=24Question 3:Figure BQuestion 4Intracompany sales = $400*205 = $82,000Variable costs = $28.7*205 = $5,883.50Fixed costs = $212,939CM = $82,000 – $5,883.50 = $76,116.5Revenue = Variable Cost * Fixed Costs82,000 + 800X = 28.7X + 5,883.5 + 212,939771.3X = 136,882.5X = 177.39 commerical hours sold to break evenFigure C
*$2225*$4513$2301$2179$4= $35.53%Question 3
Salem Telephone CompanyQuestion1:VariablePowerOperations: Hourly Personnel wagesFixedCustodial ServicesComputer LeasesMaintenanceComputer Equipment DepreciationOffice Equipment and Fixtures DepreciationOperations: Salaried StaffSystems Development and MaintenanceAdministrationSales Sales PromotionCorporate ServicesQuestion 4Figure AJanuaryFebruaryMarchQuarter IPower1546/329=2.09841/316=2.11415/318=2.0409/361=2.0114/1006=2.0114\ Question 3:Figure BQuestion 4Intracompany sales = $350*200 = $732,000Variable costs = $16.1*200 = $16.1\ Fixed costs = $20.95*200 = $20.95\ Re-sales = $25\ Customer/office = $25*$100 =$25.00\ Question 3
Salem Telephone CompanyQuestion1:VariablePowerOperations: Hourly Personnel wagesFixedCustodial ServicesComputer LeasesMaintenanceComputer Equipment DepreciationOffice Equipment and Fixtures DepreciationOperations: Salaried StaffSystems Development and MaintenanceAdministrationSales Sales PromotionCorporate ServicesQuestion 5Figure AJanuaryFebruaryMarchQuarter IPower1546/329=7.92675/316=8:12:22Customer\office=$10\ Customer/office= $60\ Customer/office= $100\ $100%= $20\ Re-sales = $25\ Customer\office = $65\ $50%\ Question 4
Salem Telephone CompanyQuestion1:VariablePowerOperations: Hourly Personnel wagesFixedCustodial ServicesComputer LeasesMaintenanceComputer Equipment DepreciationOffice Equipment and Fixtures DepreciationOperations: Salaried StaffSystems Development and MaintenanceAdministrationSales Sales PromotionCorporate ServicesQuestion 7Figure AJanuaryFebruaryMarchQuarter IPower1546/329=6:3974\Office = \$20\ Enterprise = \$11\ customer\office = \$50\ Customer\office = \$20\ employee\Office = \$50\ customer\office = \$20\ employee\Office = \\$20\ employee\Office = \\$20\ employee\ Office = \\$20\ employee\Office = \\$20\ employee\Office = \\$20\ employee\Office = \\$20\ employee\Office = \\$20\ employee\Office = \\$20\ worker\Office = \$20\ worker\