Problem: A local business - Blackriver Candy Company wants to understand more about their business costs and have asked SLC Business students to step in and help out. Their current lease payment is $1,500 per month, and monthly utilities are $350, with internet service at $225. Business insurance is $150, and they are currently spending on average $450 on digital marketing, and a stand at a local farmers market. They were able to secure candy boxes for $2.50 per unit and their raw material cost are approx. $4.00. They are entrepreneurs and are currently not taking a salary. Last month, they sold 650 boxes of chocolates. They currently feel that the right price for a box of their handmade quality chocolates is $15.00, but that is based only on instinct.
What is their total Variable Costs per month?