Question
A: Case Analysis: Angela owns a grocery store located in the suburbs of London. She performs an analysis of a recent customer survey in which
A: Case Analysis:
Angela owns a grocery store located in the suburbs of London. She performs an analysis of a recent customer survey in which she finds an increasing number of customers interested in being able to custom-order meals to go. She sees this as an opportunity to enter a niche market for busy families or individuals who want home-cooked meals with a variety of options and combinations, but who have little time. Angela already has an expansive deli, bakery, and prepared foods section in the store and sees this opportunity as a viable option to increase sales and its customer base. With meals to go, customers can choose from an array of options and can indicate the quantity of each item and the time of pickup. The customer simply pulls up in a designated spot at Angelas and the food is brought to their car, packaged, and ready to take home to enjoy.
Question: What type of costing system will work best for Angelas grocery store? What sales price information, cost information, and other options are important to this decision?
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