Question

The owner of Marshall Restaurant is disappointed because the restaurant has been averaging 7 comma 500 pizza sales per​ month, but the restaurant and wait staff can make and serve 10 comma 000 pizzas per month. The variable cost​ (for example,​ ingredients) of each pizza is $ 1.55. Monthly fixed costs​ (for example,​ depreciation, property​ taxes, business​ license, and​ manager's salary) are $ 12 comma 000 per month. The owner wants cost information about different volumes so that some operating decisions can be made.

Answer 1

Answer:

$\left[\begin{array}{ccccc} Concept& Base&6,000&7,500&10,000\\ Sales&6.25&37,500&46,875&62,500\\ Variable&-1.55&-9,300&-11,625&-15,500\\ Fixed&12,000&-12,000&-12,000&-12,000\\ Income&&16,200&23,250&35,000\\ Average per pizza&&2.7&3.1&3.5\\\end{array}\right]$

Explanation:

Question elaborate budget for the range of 6,000 // 7,500 and 10,000 units considering the selling price per Pizza is 6.25 dollars.

a) we multiply the sales per unit by each volume sales

b) sale idea but with the variable cost

c) we also subtract the fied cost.

d) This give us the income on each volume.

Finally we also divide by the numbers of unit to determinate the gain per pizza.