CableVision has been approached by the City of Mirada to run itscable operations in 2019. After negotiating with keyparties,CableVision has made the following agreements:

• It will offer Mirada residents a basic set of 25 cabletelevision stations at a rate of $33.99 per month.
• It will pay the city $90,000 per month plus $2.50 per cablesubscriber per month to maintain the physical facilities.
• It will actually pay another company an annual fixed fee of$760,000 plus $8.75 per cable subscriber per month to broadcast the25 channels.

CableVision estimates that operating costs for billing, programnews mailings, etc. will be $125,000 per month plus 7% of monthlyrevenue.

CableVision has several questions about its monthly revenues,costs, and profits in 2019.

Part A
1. What is the estimated monthy contribution margin per cablesubscriber for CableVision in 2019? (20.36)

2. What are the estimated total monthly fixed costs forCableVision in 2019? (278,333)

Part B

1. What is CableVision's estimated monthly operating income in2019 if 16,000 residents subscribe? (47,427)

2. How many monthly subscribers would be required forCableVision to break even in 2019? (13,670)

3. How many monthly subscribers would be required forCableVision to earn $23,000 per month in 2019? (14,800)

4. Assuming a tax rate of 31%, how many monthly subscriberswould be required for CableVision to earn $23,000 per month in2019?

Part C

Some of CableVision's managers are uncertain about theirestimate of monthly fixed operating costs. Assuming that 21,000residents subscribe, how large can monthly fixed operating costs befor CableVision to still earn $23,000 per month in 2019 (ignoretaxes)?

Just Part B question 4 and Part C Please.. I need it ASAP