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1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. 2. Le believes most locations could generate $67,500 in monthly
1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. 2. Le believes most locations could generate $67,500 in monthly sales. Is franchising a good idea for Le if franchisees want a minimum monthly operating income of $24,000 ? Explain your answer. Requirement 1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. +()+=)%= ( ) Required sales in dollars ( ) %= Is franchising a good idea for Le if franchisees want a minimum monthly operating income of $24,000 ? Explain your answer. Since the predicted monthly sales of $67,500 are the amount of sales necessary to generate a minimum monthly operating income of $24,000, Le's franchising concept a good idea
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