Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1.a) Seaside Grill House's fixed cost is $32,000. After the pandemic, the grill house is only providing one lunch combo, and its unit contribution margin
1.a) Seaside Grill House's fixed cost is $32,000. After the pandemic, the grill house is only providing one lunch combo, and its unit contribution margin is $5.6
How many lunch combos does the Grill House need to sell to breakeven?
1.b)Rachel's ice cream shop is struggling after the pandemic. She only wants to breakeven. Her average contribution margin is $4.0, fixed cost $32,000, and the average variable cost is $5.6.
How much revenue does Rachel require to satisfy the goal she set?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started