4,500   4,125   Tuition per credit hour $120   $135   Credit hours 60,450   43,200   Registration, records, and marketing costs per enrolled student $275   $275   Instructional costs per credit hour $64   $60   Depreciation on classrooms and equipment $825,600   $825,600   Registration, records, and marketing costs vary by the number of enrolled students, wh

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. Prepare a differential analysis report for the make-or-buy decision, considering the differential revenues and costs. WISCONSIN ARTS OF MILWAUKEE Purchase Outside Page Layout Services Differential Analysis Report Differential revenue: Residual value of computer equipment 22,500 Differential cost of alternatives: Purchase price of layout work: Number of pages 31,300 V Price per page 18 Total differential costs 563,400 Cost to perform internally: Salaries 184,000 Benefits 51,000 Supplies 27,000 Office expenses 20,000 282,000 Cost increase from purchasing outside layout services 303,900 X Net differential loss from using an outside service

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Cost Behavior Analysis in a Restaurant: High-Low Cost Estimation Assume a Papa John's restaurant has the following information available regarding costs at representative levels of monthly sales: Cost of food sold Wages and fringe benefits Fees paid delivery help Rent on building Depreciation on equipment Utilities Supplies (soap, floor wax, etc.) Administrative costs Total Monthly sales in units 5,000 8,000 10,000 $15,000 $24,000 $30,000 4,350 4,560 4,700 1,300 2,080 2,600 1.300 1,300 1,300 400 400 400 750 840 900 150 180 200 1.500 1.500 1,500 $24.750 $34,860 $41,600 (a) Identify each cost as being variable, fixed, or mixed. Cost of food sold Wages and fringe benefits Fees paid delivery help Rent on building Depreciation on equipment Variable # Mixed ● Variable ÷ Fixed Fixed

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