Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

5.1 Ali is considering buying a 32-seat restaurant with an average daily turnover of 2 and an average check of $44. The restaurant opens 299

image text in transcribed
image text in transcribed
5.1 Ali is considering buying a 32-seat restaurant with an average daily turnover of 2 and an average check of $44. The restaurant opens 299 days last year due to the impact of the COVID. Its total variable costs are 8419,000. Fixed costs are $666,000 a year. (If your answer is about loss, using the negative sign.) What is the number of customers served last year? LATEX Unlimited attempts Submit b The current operating income/loss is: LATEX Unlimited attempts Submit The variable rate is: LATEX 5.2 Before Ali made the decision, he would like to see the potential of increasing operating income. His partner suggests that joining a famous brand's franchise might work. The franchisor requires a fixed loyalty fee of $20,000 a year and 5% of the revenue to be contributed to the national marketing program How much revenue does the restaurant have to generate to achieve an operating income of $102,000? Answer: LATEX Unlimited attempts Submit

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

Assessing Organizational Communication Strategic Communication Audits

Authors: Cal W. Downs, Allyson D. Adrian

1st Edition

1593850107, 978-1593850104

More Books

Students also viewed these Accounting questions

Question

Answer both A and B please

Answered: 1 week ago