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Sheridan Diesel owns the Fredonia Barber Shop

Accounting

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Sheridan Diesel owns the Fredonia Barber Shop. He employs 4 barbers and pays each a base rate of $1,400 per month. One of the barbers serves as the manager and receives an extra $560 per month. In addition to the base rate, each barber also receives a commission of $6.40 per haircut.

Other costs are as follows.

Advertising$260 per monthRent$1,060 per monthBarber supplies$0.50 per haircutUtilities$160 per month plus $0.10 per haircutMagazines$25 per month

Sheridan currently charges $14 per haircut.

(a)

Determine the variable costs per haircut and the total monthly fixed costs. (Round variable costs to 2 decimal places, e.g. 2.25.)

Total variable cost per haircut$

enter a dollar amount rounded to 2 decimal places

Total fixed$

enter a dollar amount