Question: KC Services provides landscaping services in Edison Kate Chen the owner, is connected about the recent the company has incurred and is considering is services,
KC Services provides landscaping services in Edison Kate Chen the owner, is connected about the recent the company has incurred and is considering is services, which she feels are marginal to the company's business. She estimates that doing so will result in lost revenues of $60.000 per year (reducing the lost bee business from customers who use the company for both services). The present manager will continue to supervise the tree services with no reduction in salary without the business, Kate estimates that the company will save 10 percent of the equipment leases, labor, and other costs. She also experts to save 12percent on rent and utilities. Prepare a report of the different costs and revenues if the service is discontinued
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
