A bakery sells its pies for $6.00 each. The bakery incurs a daily fixed cost of $500 which includes salaries and rental. The variable cost per pie is $2.50. Set up this problem in Excel as shown below.

Use Goal Seek to compute the number of pies (X) that must be baked daily in order to achieve a profit of $700.00. Adjust the model and/or parameters from part a as necessary. Be sure to put your model for part b on a separate tab or in a separate workbook.

B $ 6.00 $ 500.00 $ 2.50 A 1 Bakery parameters: 2 Selling price per unit 3 Fixed cost 4 Variable cost per unit 5 6 Input Data 7 Number of units, X 8 9 Results 10 Total revenue 11 Fixed cost 12 Total variable cost 13 Total cost 14 Profit