Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

0 The Wholesome Buffet offers an all you can eat buffet meal for $35 per person. The restaurant employs ten salaried employees Rent for the

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

image text in transcribed

0 The Wholesome Buffet offers an all you can eat buffet meal for $35 per person. The restaurant employs ten salaried employees Rent for the building, employee salaries, and other fixed costs for the restaurant are $212.800 per month when the restaurant serves meals up to 13,900 guests in that month. If the restaurant were to serve more than 13,900 guests in any given month, it would need to hire two additional servers and two additional kitchen staff for an additional fixed cost of $27,000 per month. The variable cost of food is 514 per guest Read the requirement 35 per hat md salaries, an need to hire Requirements - X of food ating a. En May led tot 1. What is the restaurant's cost equation for estimating costs if the number of guests to be served is up to 13,900 guests per month? 2. If the restaurant were to serve 13,300 guests in May, what would be the Estimated total cost? (Use the cost equation from Requirement 1.) b. Average cost per guest? 3. If the restaurant were to serve 12,000 guests in June, what would be the a. Estimated total cost using the cost equation from Requirement 12 b. Estimated total cost using the average per guest cost from Requirement 2b? c. Why is there a difference in the two cost estimates? 4. What is the restaurant's cost equation for estimating costs if the number of guests to be served is more than 13.900 guests per month? 5. If the restaurant were to serve 15.400 guests in July, what would be the estimated total cost? (Use the cost equation from Requirement 4) in May ge cost in June nated to Print Done next qu Requirement 1. What is the restaurant's cost equation for estimating costs if the number of guests to be served is up to 13,900 guests per month? y = X + Requirement 2a. If the restaurant were to serve 13,300 guests in May, what would be the estimated total cost (Use the cost equation from Requirement 1.) If the restaurant were to serve 13,300 guests in May, the estimated total cost would be Requirement 2b. If the restaurant were to serve 13,300 guests in May, what would be the average cost per guest? If the restaurant were to serve 13,300 guests in May the average cost per guest would be Requirement 3a. If the restaurant were to serve 12,000 guests in June, what would be the estimated total cost using the cost equation from Requirement 1? If the restaurant were to serve 12,000 guests in June, the estimated total cost using the cost equation from Requirement 1 would be Enter any number in the edit fields and then continue to the next question Requirement 3b. If the restaurant were to serve 12,000 guests in June, what would be the estimated total cost using the average per guest cost from Requirement 2b? If the restaurant were to serve 12.000 guests in June, the estimated total cost using the average cost per guest from Requirement 2b would be Requirement 3c. Why is there a difference in the two cost estimates? There is a difference in the two cost estimates because the average cost per guest volume decreases, while the variable cost per unit Vas volume changes due to the of the buffet's costs. The fixed cost per unit as Requirement 4. What is the restaurant's cost equation for estimating costs if the number of guests to be served is more than 13,900 guests per month? y = Requirement 5. If the restaurant requirement 5. If the restaurant were to serve 15.400 guests in July, what would be the estimated total cost? (Use the cost equation from Requirement 4.) the restaurant were to serve 15.400 guests in July, the estimated total cost using the cost equation from Requirement 4 vould be nter any number in the edit fields and then continue to the next

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Modern Auditing

Authors: Graham Cosserat

2nd Edition

0470863226, 978-0470863220

More Books

Students also viewed these Accounting questions

Question

Explain the process of MBO

Answered: 1 week ago