3. Bernie Larson is the manager of a New York style delicatessen. Bernie's boss has established...

Transcribed Image Text:

3. Bernie Larson is the manager of a New York style delicatessen. Bernie's boss has established performance targets that determine the amount of bonus Bernie will receive each month. Bernie's performance is evaluated in five separate categories. Bernie can receive a 2% salary bonus for each of the five targets he achieves. If he achieves all five goals, he can receive a total of 10% in salary bonus. Bernie earns a 2% bonus when His food cost is 28% or less His total cost of sales is 25% or less His labor cost is 20% or less for the "Staff" category His total labor cost is 32% or less His prime costs are less than 60% of total sales This Month ($) SALES Food Beverage Total Sales 73,500 115,000 COST OF SALES Food 21,150 (b) Beverage 7,450 (c) Total Cost of Sales (d) LABOR Management Staff Employee Benefits Total Labor Cost PRIME COST (a) 7,800 21,850 6,225 (e) % 3. Bernie Larson is the manager of a New York style delicatessen. Bernie's boss has established performance targets that determine the amount of bonus Bernie will receive each month. Bernie's performance is evaluated in five separate categories. Bernie can receive a 2% salary bonus for each of the five targets he achieves. If he achieves all five goals, he can receive a total of 10% in salary bonus. Bernie earns a 2% bonus when His food cost is 28% or less His total cost of sales is 25% or less His labor cost is 20% or less for the "Staff" category His total labor cost is 32% or less His prime costs are less than 60% of total sales This Month ($) SALES Food Beverage Total Sales 73,500 115,000 COST OF SALES Food 21,150 (b) Beverage 7,450 (c) Total Cost of Sales (d) LABOR Management Staff Employee Benefits Total Labor Cost PRIME COST (a) 7,800 21,850 6,225 (e) %