You currently lease scanning equipment at a cost of $2,750 per quarter and two copy machines at $150 each per month plus $0.01 per page copied. You estimate you will copy a total of 30,000 pages a year per copier. What will you need to budget annually for this leased equipment?
$15200
To calculate the annual budget for the leased equipment, we need to consider the costs of the scanning equipment and the two copy machines separately.
First, let's calculate the annual cost for the scanning equipment:
The leasing cost for the scanning equipment is $2,750 per quarter. Since there are 4 quarters in a year, the annual leasing cost for the scanning equipment would be: $2,750 * 4 = $11,000.
Next, let's calculate the annual cost for the copy machines:
The monthly cost for each copy machine is $150, so the annual cost for each copy machine would be: $150 * 12 = $1,800.
The cost per page copied is $0.01, and the estimated number of pages copied per year per copier is 30,000.
Since there are two copy machines, the total number of pages copied per year would be: 30,000 * 2 = 60,000.
So, the annual cost for the copies made would be: $0.01 * 60,000 = $600.
Now, let's add the annual costs for the scanning equipment and the copy machines:
Scanning equipment cost: $11,000
Copy machines cost: $1,800 + $600 = $2,400
Total annual budget for the leased equipment: $11,000 + $2,400 = $13,400.
Therefore, you would need to budget $13,400 annually for this leased equipment.