SE12

Question

Calculating unit cost per service 

Marx and Tyler provides hair-cutting services in the local community. In February, the business cut the hair of 190 clients, earned \(4,800 in revenues, and incurred the following operating costs: 

Hair Supplies Expense \) 950 

Wages Expense 548 

Utilities Expense 190 

Depreciation Expense—Equipment 60 

What was the cost of service to provide one haircut?

Step-by-Step Solution

Verified
Answer

The cost of service to provide one haircut is $9.2

1Computation of total cost


2Computation of Cost to service to provide one haircut