Answer the Following Questions Using the Information Below:
Hewitt Sporting

question 108

Multiple Choice

Answer the following questions using the information below:
Hewitt Sporting Goods Store is a small company that has hired you to perform some management advisory services.The following information pertains to 2018 operations.
$\begin{array}{lr}\text { Sales (2000 cricket bats) } & \$ 900000 \\\text { Cost of goods sold } & 400000 \\\text { Store manager's salary per year } & 70000 \\\text { Operating costs per year } & 157000 \\\text { Advertising and promotion per year } & 15000 \\\text { Commissions ( } 4 \% \text { of sales) } & 36000\end{array}$
-What are the estimated total costs if Hewitt expects to sell 3000 units next year?

• A)$896 000
• B)$1 017 000
• C)$678 000
• D)$799 000