Fuchsia,Inc.provides automobile repair services in the local community.The company provides the following information for the month of March: $$\begin{array} { | l | r | }
\hline \text { Building Rent Expense } & \$ 5,100 \
\hline \text { Depreciation Expense-Equipment } & 1,500 \
\hline \text { Supplies Expense } & 9,000 \
\hline \text { Utilities Expense } & 2,450 \
\hline
\end{array}$$
Fuchsia provided services to 1,400 clients in the month of March and generated $24,000 as revenue.
How much is the cost per service? (Round your answer to the nearest cent.)
A) $12.89
B) $3.64
C) $9.80
D) $6.46

Question

Fuchsia,Inc.provides automobile repair services in the local community.The company provides the following information for the month of March: $$\begin{array} { | l | r | } 
\hline \text { Building Rent Expense } & \$ 5,100 \
\hline \text { Depreciation Expense-Equipment } & 1,500 \
\hline \text { Supplies Expense } & 9,000 \
\hline \text { Utilities Expense } & 2,450 \
\hline
\end{array}$$ 
Fuchsia provided services to 1,400 clients in the month of March and generated $24,000 as revenue.
How much is the cost per service? (Round your answer to the nearest cent.)
A) $12.89
B) $3.64
C) $9.80
D) $6.46

Quizplus · Accepted Answer

Cost per service = Total expenses / Number of clientsTotal expenses = Building Rent Expense + Depreciation Expense-Equipment + Supplies Expense + Utilities ExpenseTotal expenses = $5,100 + $1,500 + $9,000 + $2,450 = $18,050Cost per service = $18,050 / 1,400 = $12.89 (rounded to the nearest cent)

Fuchsia,Inc Fuchsia Provided Services to 1,400 Clients in the Month of the Following