Question
Cassandra Duncan owns a small coffee shop in Massachusetts. Please examine the data below and calculate the number of customers that she must serve per
Cassandra Duncan owns a small coffee shop in Massachusetts. Please examine the data below and calculate the number of customers that she must serve per day in a typical month in order to break even. | |
Monthly Operating Costs: | |
Rent | $ 15,000 |
Equipment lease agreements | $ 2,500 |
Contracted services | $ 1,000 |
Software subscriptions (dues and subscriptions) | $ 400 |
Insurance | $ 1,200 |
Labor Costs | $ 25,000 |
Utilities | $ 1,200 |
Advertising | $ 500 |
Average Revenue per Customer per Day | $ 9.50 |
Average Expenses for That Customer | |
Food costs | $ 2.00 |
Beverage costs | $ 1.25 |
Credit card processing fees | $ 0.33 |
Supplies | $ 0.80 |
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Managing Supply Chain and Operations An Integrative Approach
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