Help Editing v U D v Av .. and other miscellaneous equipment. While average class enrollment is so students, some classes are full (25 students), and classes are cancelled if enrollment is fewer than 15 students. Classes typically are held Monday through Friday, although some classes are held on saturdays and Sundays. Rent relates to the training center in Kirkland, which is not part of Mayfield's main campus located in Bellevue, Washington. Advertising costs relate to the cost of monthly advertisements in trade journals such as Tech Worker, and Inventory Management. These ads provide information on upcoming training sessions. Operating manuals are provided to each participant. Postage, envelopes, and paper costs relate primarily to billing companies for employees who participate in classes. This cost varies with the number of participants. Central charges are assigned to each group at Mayfield Software based on actual sales. The allocation relates to costs incurred for the benefit of the company as a whole, including salaries of the CEO and company president, legal costs, costs related to the company's central office building, brand advertising, and so on. The charge is 20 percent of revenue a. As indicated. the training group suffered a loss in 2016. Thus, unbeknownst to Marie. Mayfield management is considering shutting down the training center. Given the results of 2016, what would be the effect on Mayfield Software's total company profit in 2017 if the training center is closed at the start of the vear? D. Given the current room configuration and approach to allocation of central chances (20 percent of revenue), calculate the number of classes that must be offered (with an average enrollment of 20 students) for Marie's group to break even on the Report of Operating Results . Recalculate your answer to part b assuming Marie can lower the amount paid to instructors to 82.soo per dass, Should Marie seriously pursue this option d. Mayfield Software is releasing version 4.6 of CustomerTrack in 2017. Marie believes that this will create a demand for go additional day long classes with an average enrollment of 20 students per class. What effect will this have on "group Group profit" Marie's Report of Operating Results" assume that instructors will be paid $4,00 per class.View Help Editing V Av . . Ev - MAYFIELD SOFTWAI ININ lane Stefano is the group dire she runs a center in Kirkland, rovide s of compa bat use Mayfield's inventory control, group employs a receptioni with several part-time trainers fired on an as-needed basis. (They are all retired employees of Mayfield Software.) Trainers are paid $4,000 per daylong class. Mayfield is a lecentralized company, and Marie is given considerable authority to advertise and conduct classes as she sees fit. X Report of Operating Results, 2016 Revenue $6,120,000 ess operating costs: Trainer costs $3,400,000 Director salary 180,000 Receptionist 60,000 Office manager 80,000 Julities, phone, etc. 38,000 ease CARED'6 related to 100,000 computers, servers, ute 100,000 Operating manuals for $10,000 ige, envelopes, paper, etc. 12.750 160.000 4.840 250 Profit before central charges Central charges Group profit During 2016, the group conducted 850 day-long classes students paying $360. The group's Report of Ope It of Operating Results for 2016 is detailed above. All equipment is leased on a yearly basis. Costs - one workstation astation for every seat in each of the Toy and other miscellaneous equipment, have avich zo student lasses are full (25 students), and classes are cang students. Glasses typically are held Monday held on Saturdays and Sundays Rent relates to the that e training center in campus located in Bellevue, | Washington Liadvertising costs relate to the Best of Int