Problems

Solve each problem as indicated in the space provided. Ensure you show your calculations in order to maximize your score $(5$ points each$)$

$4)$ Mo Salah Hardware, a retailing company with several locations, anticipated that it would have $96,000$ sales urits for $664$ customer chipments. Average storage bin usage for various inventories wasestimated to be $200$ storage bins per day. The costs and cost drivers were determined to be as follows:

$\backslash$table$[[$Cost Item,Fixed Portion,Variable Cost$/$Driver$],[$Product handling,$$10,000,$$$1\mathrm{.}25$ per $100$ units$],[$Storage$,,3\mathrm{.}00$ per storage bin$],[$Utilities$,1,000,1\mathrm{.}50$ per $100$ units$],[$Shipping clerks,$1,000,1\mathrm{.}00$ per shipment$],[$Supplies$,,0\mathrm{.}50$ per shipment$]]$

During the year, the warehouse processed $90,000$ units for $600$ customer shipments. The workers used $225$ storage bins on average each day to sort store, and process goods for shipment. The actual costs were:

$\backslash$table$[[$Cost Item,Actual costs$],[$Product handling,$$10,900$