CASE STUDY QUESTION 3 Expenses (Fixed and Variable) Charlene Ripper and Tonya Upper own and run the Ripper-Upper Carpet Cleaning Company. They charge $100 for each carpet cleaning job. Their expenses are: "Sales commission: 20 percent ($20 for each job sold) Operator (the individual who actually pushes the equipment over the carpets: $30 per carpet cleaning job) Gas for truck: average $5 per cleaning job Soap: $2 per job Maintenance of cleaning machine: overhaul of machine costs $300 and has to be done after every 100 jobs (Hint: Divide the $300 overhaul costs by the 100 jobs to find the overhaul cost per job) Rent, office and warehouse: $500 per month Salaries to Charlene and Tonya: total $2,250 per month I Receptionist: $1,200 per month Insurance: $100 per month Utilities and telephone: $150 per month (Note: All figures for commissions, salaries, and wages include payroll tax expense.) CASE STUDY QUESTION 3 Expenses (Fixed and Variable) Charlene Ripper and Tonya Upper own and run the Ripper-Upper Carpet Cleaning Company. They charge $100 for each carpet cleaning job. Their expenses are: "Sales commission: 20 percent ($20 for each job sold) Operator (the individual who actually pushes the equipment over the carpets: $30 per carpet cleaning job) Gas for truck: average $5 per cleaning job Soap: $2 per job Maintenance of cleaning machine: overhaul of machine costs $300 and has to be done after every 100 jobs (Hint: Divide the $300 overhaul costs by the 100 jobs to find the overhaul cost per job) Rent, office and warehouse: $500 per month Salaries to Charlene and Tonya: total $2,250 per month I Receptionist: $1,200 per month Insurance: $100 per month Utilities and telephone: $150 per month (Note: All figures for commissions, salaries, and wages include payroll tax expense.)