A fast-food restaurant features only three entree items on its menu with the following cost and selling

Question:

A fast-food restaurant features only three entree items on its menu with the following cost and selling prices: image text in transcribed

a. For each item calculate the food cost percentage.

b. If 50 of each item are sold each day, what will the standard food cost percentage be? What is the contribution margin in dollars?

c. If only 25 each of Items 1 and 3 sold and 100 of Item 2, what effect will this have on the standard cost percentage? What is the contribution margin in dollars?

d. Comment on the results of this analysis.LO1

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Hospitality Management Accounting

ISBN: 9780471687894

9th Edition

Authors: Martin G Jagels, Catherine E Ralston

See More Books

Question Posted: Jun 21, 2024 09:00 AM

See More Questions

A pitcher claims he can throw a 0.147-kg baseball with as much momentum as a 3.36-g bullet moving with a speed of 1.50 10 3 m/s. (a) What must the baseball's speed be if the pitcher's claim is...
Due Sunday, 11/20: Problems from Zimmerman text: 2-11, 2-44, Case 2-3, 7-7, and 7-20 Chapter Two The Nature of Costs Chapter Outline A. Opportunity Costs 1. Characteristics of Opportunity Costs 2....
I need help with this assignment. I have attached the required documents to be completed along with the instructions. Use the project guidelines and case study as a guide to complete the spreadsheet...
A company conducts a Security model workshop to review configuration options. The company uses Microsoft Entra ID to control access and permissions within multiple corporate applications. When users...
Y = 2 Graph the equation by hand.
The following information was taken from the accounts and records of the Community Society, a nongovernmental not-for-profit organization. The balances are as of December 31, 2016, unless otherwise...
What is the purpose of control? To what is it directed? LO4
Mike Macinski Leasing Company leases a new machine that has a cost and fair value of $95,000 to Sharrer Corporation on a 3-year noncancelable contract. Sharrer Corporation agrees to assume all risks...
All functions have limits that exist. O True O False
What actions would you, as a hospitality manager, take in order to create successful teambuilding? Explain the likely characteristics of an effective work team.
What is a group? Explain why it is important for a hospitality manager to understand the influence of group values and norms. Give practical examples from a hospitality organisation with which you...
Use Method 2 or 3 in Example 1 to construct a table like the ones in the examples for 0 x 1, with h = 0.2. dy dx y; y(0) = 1
What is the Winshape foundation? What is the negative impact of this foundation?
Justin is a manager at a firm that produces dressings, dips, sauces, and jams. One of the jams is strawberry and fig. Currently, his firm buys 20,000 pounds of strawberries from local farmers at a...
The ABC Company's costing system has two direct-cost categories: direct materials and direct manufacturing labor. Manufacturing overhead (both variable and fixed) is allocated to products on the...
Select at least three leadership theories evaluate their impact on professional relationships. discuss which leadership theories, characteristics, or competences you believe are necessary to be an...
No. of portion: 30 FC%: X Ingredient Recipe Yield % AP Cost (EP) Complete the following costing sheet using the information already included in the form. Recipe: Grilled Chicken and Mango Salsa Cost...
Air in a piston/cylinder at 200 kPa, 600 K, is expanded in a constant-pressure process to twice the initial volume (state 2), shown in Fig. P5.101. The piston is then locked with a pin and heat is...
Presented below are income statements prepared on a LIFO and FIFO basis for Kenseth Company, which started operations on January 1, 2024. The company presently uses the LIFO method of pricing its...

A fast-food restaurant features only three entree items on its menu with the following cost and selling

Question:

Item Cost Selling Price 123 $2.20 $6.80 2 3.25 8.80 3 3.75 9.85

Step by Step Answer:

Hospitality Management Accounting

Students also viewed these Business questions