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### Part 1 – Costs

i. Cam Industries want to ensure they are paying their sales staff above the mean salary for the Smithfield-Wetherill Park area. Are they doing this? Show the mean income from 2015-2018 graphically and the range of the mean income over that time to support your answer

ii. Cam Industries is interested in the business growth in the area. Determine if the number of employing businesses with 5-19 employees is increasing or decreasing over the last 5 years in the Smithfield-Wetherill park area (use the ‘at June 30’ data on the ABS website). Compare this to the number of retail trade jobs over the same time period. Show this data on the same graph and comment on any trend. Is the area growing? Is the retail sector growing?

iii. Show a breakdown of yearly expenses on a suitable graph. Cam industries has asked for what percentage the salaries contribute to the total expenses.

iv. Calculate a depreciation schedule for each of the depreciating assets. How much can Cam industries claim in depreciation for the close of the 2021-22 financial year?

Part 2-Revenue

i. Construct an ungrouped frequency distribution of the numbers of sales of security systems (separated by small, medium, and large systems). Show the cumulative frequency on your table. Find the mean, median and lower quartile of this data.

ii. If the mean number of security systems are sold per month, how much revenue is expected per year?

iii. If Cam industries sells the mean number of security systems each month in addition to the webcams, what price (excluding GST) must the webcams be sold at to break-even over the 2021-22 financial year, assuming the plant is run at full production capacity for the entire
year, and they sell all webcams produced (60 units per week)? (Expenses are shown on page

3. Remember that depreciation is an expense).

iv. Cam industries wants to sell the webcams at \$92 profit per webcam. What is the sale price per webcam after GST is added? What do you expect the annual profit of the webcams to be if all produced units are sold at this profit margin?

v. Cam industries believes they need to make an annual profit of \$150,000 for the business to effectively grow. Show how far off this goal Cam industries are, if the sale price of the webcams is set to a profit of \$92 per webcam, and they continue to sell security systems at the mean rate per month.

vi. Advise Cam industries what production (units) per week, or webcam price (before GST), would be required to reach their profit target.

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