Janice Huffman has decided to start Fanning Cleaning, a residential housecleaning service company. She is able to rent cleaning equipment at a cost of $790 per month. Labor costs are expected to be $55 per house cleaned and supplies are expected to cost $9 per house.
Required
Determine the total expected cost of equipment rental and the average expected cost of equipment rental per house cleaned, assuming that Fanning Cleaning cleans 10, 20, or 30 houses during one month. Is the cost of equipment a fixed or a variable cost?
Determine the total expected cost of labor and the average expected cost of labor per house cleaned, assuming that Fanning Cleaning cleans 10, 20, or 30 houses during one month. Is the cost of labor a fixed or a variable cost?
Determine the total expected cost of supplies and the average expected cost of supplies per house cleaned, assuming that Fanning Cleaning cleans 10, 20, or 30 houses during one month. Is the cost of supplies a fixed or a variable cost?
Determine the total expected cost of cleaning houses, assuming that Fanning Cleaning cleans 10, 20, or 30 houses during one month.
Determine the average expected cost per house, assuming that Fanning Cleaning cleans 10, 20, or 30 houses during one month.