Answer the Following Questions Using the Information Below:
Stosur Courtside

question 182

Multiple Choice

Answer the following questions using the information below:
Stosur Courtside Caterers is a small company that has hired you to perform some management advisory services.The following information pertains to 2018 operations.
$$\begin{array} { l r } \text { Sales (5000 microwave ovens) } & \$ 1350000 \\\text { Cost of goods sold } & 540000 \\\text { Store manager's salary per year } & 75000 \\\text { Operating costs per year } & 225000 \\\text { Advertising and promotion per year } & 25000 \\\text { Commissions (4\% of sales) } & 67500\end{array}$$
-What are the estimated total costs if Stosur expects to sell 6500 units next year?

• A)$932 500
• B)$1 104 750
• C)$665 000
• D)$1 017 500