Larry's Lube Shop is a local oil change shop and they perform many oil & filter changes per week, and they are trying to estimate their costs at different operating levels. Complete the following sensitivity table of total and per unit costs using the costs provided. Calculate the "per unit" costs to 3 decimal places. Use the format in the Excel template file. The three levels of oil change sales: 200, 400, 600 Fixed costs per week = $3,000 Variable costs per oil change = $15.00
Smokin' Joe's Sub Shop |
Weekly - Oil & Filter Changes |
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400 |
600 |
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Variable Cost |
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Fixed Cost |
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Total Cost |
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Variable cost / oil change |
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Fixed cost / oil change |
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Average Cost/ oil change |
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Variables |
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Fixed Cost |
$3,000 |
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Variable Cost |
$15.00 |
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