persor's compensation is $$8,040$ per quarter.

Required:

How much employee salaries will the company avoid if it closes the North Store?

How much employment taxes will the company avoid if it closes the North Store?

What is the financial advantage $($disadvantage$)$ of closing the North Store?

Assuming the North Store's floor space can't be subleased, would you recommend closing the North Store?

Assume the North Store's floor space can't be subleased. However, let's introduce three more assumptions. First, if the North Store were closed, one$-$fourth of its sales would transfer to the East Store due to strong customer loyalty to Superior Markets. Second, the East Store has enough capacity to handle the increased sales that would arise from closing the North Store. Third, the increased sales in the East Store would yield the same gross margin as a percentage of sales as present sales in the East Store. Given these new assumptions, what is the financial advantage $($disadvantage$)$ of closing the North Store?

Complete this question by entering your answers in the tabs below.

Required $1$

Required $2$

Required $3$

How much employee salaries will the company avoid if it closes the North Store?