Triad Children's Center $($TCC$),$ a non$-$profit organization, uses relevant cost analysis to determine

whether new services are desirable. TCC is looking at adding a new educational program for grade

school children who are having difficulty with their reading and math skills. The following relevant

costs are expected if the program is accepted:

Costs $($per year$)$

Program Director salary

$$49,000$

Part$-$time Assistants

$$30,000$

Variable cost per child

$$900$

TCC estimates that a maximum of $40$ children will participate in this program in the first year. If TCC

decides to implement this program, funding will be received from the City Chamber of Commerce

$($$$47,000)$ and a local Private University Endowment Fund $($$$36,000).$

Calculate the expected surplus or deficit from operations given the above information.

Multiple Choice

$$42,000$ surplus.

$$24,000$ surplus.

$$31,000$ defict

$$32,000$ deficit.

Some amount other than thoselisted here.