References
Academic.Tips. (2023) 'You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate'. 30 May.
Reference
Academic.Tips. (2023, May 30). You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate. https://academic.tips/question/you-have-a-friend-who-is-thinking-of-starting-up-a-hairdressing-business-from-home-he-can-charge-25-for-each-customer-visit-and-it-takes-about-half-an-hour-to-style-a-customers-hair-he-thi/
References
Academic.Tips. 2023. "You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate." May 30, 2023. https://academic.tips/question/you-have-a-friend-who-is-thinking-of-starting-up-a-hairdressing-business-from-home-he-can-charge-25-for-each-customer-visit-and-it-takes-about-half-an-hour-to-style-a-customers-hair-he-thi/.
1. Academic.Tips. "You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate." May 30, 2023. https://academic.tips/question/you-have-a-friend-who-is-thinking-of-starting-up-a-hairdressing-business-from-home-he-can-charge-25-for-each-customer-visit-and-it-takes-about-half-an-hour-to-style-a-customers-hair-he-thi/.
Bibliography
Academic.Tips. "You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate." May 30, 2023. https://academic.tips/question/you-have-a-friend-who-is-thinking-of-starting-up-a-hairdressing-business-from-home-he-can-charge-25-for-each-customer-visit-and-it-takes-about-half-an-hour-to-style-a-customers-hair-he-thi/.
Work Cited
"You have a friend who is thinking of starting up a hairdressing business from home. He can charge £25 for each customer visit, and it takes about half an hour to style a customer’s hair. He thinks that he can work for five hours a day, five days per week, fifty weeks a year. He has worked out that his consumable costs will be about £5 per customer, but he will have to lay out £9,000 on capital equipment, which he thinks will have a working life of about three years. He wants to make at least £200 a week and believes he should also be able to set aside another £100 as a contribution to repairing damages to carpets and fittings. He is very enthusiastic about his plan because he has a friend who has a similar business. She says that 70% of her takings are pure profit. Calculate your friend’s weekly break-even volume for three cases: Meeting costs, Making his required cash surplus, and Making his surplus plus a contribution to repairs. Determine what changes (if any) he would need to make to match his friend’s profitability rate." Academic.Tips, 30 May 2023, academic.tips/question/you-have-a-friend-who-is-thinking-of-starting-up-a-hairdressing-business-from-home-he-can-charge-25-for-each-customer-visit-and-it-takes-about-half-an-hour-to-style-a-customers-hair-he-thi/.