Flossmoor Inspection Service specializes in inspecting cars that have been returned to automobile leasing companies at the

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Flossmoor Inspection Service specializes in inspecting cars that have been returned to automobile leasing companies at the end of their leases. Flossmoor’s charge for each inspection is $50; its average cost per inspection is $15. Tony Lomangeno, Flossmoor’s owner, wants to expand his business by hiring another employee and purchasing an automobile. The fixed costs of the new employee and automobile would be $3,000 per month. How many inspections per month would the new employee have to perform to earn Lomangeno a profit of $1,200?


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Principles of Accounting

ISBN: 978-1439037744

11th Edition

Authors: Needles, Powers, crosson

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