Salem Cell phone Company Case Analysis

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01.08.2019-112 views -Salem Telephone Organization

 Essay regarding Salem Cell phone Company Circumstance Analysis

1 . )

VARYING EXPENSES

-Power

-Operations (hourly personnel)

SET EXPENSES

-Rent

-Custodial solutions

-Computer rents

-Maintenance

-Depreciation

-Operations (salaried staff)

-Systems development and maintenance

-Administration

-Sales

-Sales promotion

-Corporate services

2 . )

VARIABLE BILLS: COST/HOUR

JAN. FEB. MARLY.

Power: 4. 74. seventy four. 7

Procedures (hourly personnel): 242424

TOTAL: 28. 728. 728. several

3. )

CONTRIBUTION MARGIN PROFITS STATEMENT

SALES/REVENUE

Intracompany: 205 hrs 5. $400/hr = $82, 500

Commercial: 138 hrs 5. $800/hr = $110, four hundred

Total: 343 hrs$192, 500

VARIABLE EXPENDITURES

Power: $4. 7/hr 5. 343 hours = $1, 612. 10

Operations (hourly personnel): $24/hr * 343 hrs = $8, 232. 00

Total: $9, 844. 10

SET EXPENSES

-Rent$8, 000

-Custodial services$1, 240

-Computer leases$95, 000

-Maintenance$5, 400

-Depreciation$26, 180

-Operations (salaried staff)$21, 600

-Systems development and maintenance$12, 1000

-Administration$9, 500

-Sales$11, 2 hundred

-Sales promotion$8, 083

-Corporate services$15, 236

TOTAL: $212, 939

Sales$192, 400

Variable Expenses($9, 844. 10)

Contribution Margin$182, 5iphon. 90

Set Expenses($212, 939)

Net Profit/Loss($30, 383. 10)

4. )

BREAK-EVEN

Intracompany (revenue): 205 hrs * $400/hr =$82, 000

-Variable Expenses: 205 hrs 2. 28. 7/hr = $5, 883. 40

-Contribution Perimeter: $76, 116. 50

Total Fixed Cost: $212, 939

Contribution Perimeter: ($76, 116. 50)

" Remaining”: $136, 822. 60

136, 822. 50 / (800 – 28. 7) = 177 units (Break-Even)

5. )

A) Industrial = $1, 000/hr, thirty percent demand reduce

Intracompany: 223 hrs 2. $400/hr sama dengan $89, two hundred

Commercial: 97 hrs * $1, 000/hr = $97, 000

Total: 320 hrs$186, 200

Adjustable Exp: 320 hrs 2. 28. 7/hr = $9, 184

Sales$186, 200

Variable Expenses($9, 184)

Contribution Margin$177, 016

Fixed Expenses...

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