Q1Wakefield, Inc., offers a CPA review course in cities throughout the eastern United States. Wakefield hires local CPAs to do the teaching. Each instructor is paid $120 an hour to teach the course; course consists of 12 weeks of instruction with sessions taking place four evenings a week for two hours at each
Other instruction costs to Wakefield are to pay for hotel conference rooms to host course. Usually, Wakefield pays hotel $625 per evening to rent conference room. Also, tuition for course includes all course materials, that cost company $180 for each student.
1. Determine product cost of giving one evening of instruction for all students?
2. Compute the product cost of training a student over entire course (there are 75 students in this particular course)?
3. Suppose that Wakefield charges each student $1,200 for the course, how many students would be needed to break even on this course?