The following table specifies the expansion expenses for a business: \[ \begin{array}{l}\text { Expansion Expenses } \\ \text { Product Growth: } \\ \text { Focus Groups: } 50 \text { people @ } \$ 195 \text { per person } \\ \text { Inventory Expenses: } 30 \% \text { on } \$ 230,000 \text { value } \\ \text { New Equipment: } \$ 215,000 \\ \text { Building Growth: } \\ \text { Architect Cost: } \$ 15,500 \\ \text { Attorneys: } \$ 60,000 \\ \text { Bankers: } \$ 115,000\end{array} \] Calculate the total costs of expansion. Costs \( =\$[?] \)
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To find the total costs of expansion, let’s break down the expenses from the table. 1. **Focus Groups**: 50 people @ $195 per person = 50 x 195 = $9,750 2. **Inventory Expenses**: 30% of $230,000 = 0.30 x 230,000 = $69,000 3. **New Equipment**: $215,000 4. **Architect Cost**: $15,500 5. **Attorneys**: $60,000 6. **Bankers**: $115,000 Now, add all these costs together: Total Costs = $9,750 (Focus Groups) + $69,000 (Inventory) + $215,000 (New Equipment) + $15,500 (Architect) + $60,000 (Attorneys) + $115,000 (Bankers) Total Costs = $474,250 Thus, the total costs of expansion are: Costs \( = \$474,250 \)