Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Graded Homework Saved Helps Problem 9-21 More Than One Cost Driver (LO9-2, LO9-3, LO9-4, LO9-5) Milano Pizza is a small neighborhood pizzeria that has a

image text in transcribed
image text in transcribed
Graded Homework Saved Helps Problem 9-21 More Than One Cost Driver (LO9-2, LO9-3, LO9-4, LO9-5) Milano Pizza is a small neighborhood pizzeria that has a small area for in-store dining as well as offering take-out and free home delivery services. The pizzeria's owner has determined that the shop has two major cost drivers--the number of pizzas sold and the number of deliveries made. The pizzeria's cost formulas appear below. cost per Delivery Fixed Cost Cost per per Month Pizza $ 5.00 $6.250 $ 780 1.00 Pizza ingredients Kitchen statt Utilities Delivery person Delivery vehicle Equipment depreciation Rent Miscellaneous $2.80 $2.00 $ 800 $ 536 $2.210 $ 900 $ 0.10 In November, the pizzeria budgeted for 2,070 pizzas at an average selling price of $16 per pizza and for 230 deliveries. Data concerning the pizzeria's actual results in November appear below: Retual Results 2,170 Pizzas Deliveries 210 Piaza ingredients Kitchen start Utilities Delivery person Delivery vehicle Equipment depreciation Rent Miscellaneous $ 35, 440 $ 10,270 $ 6,190 $ 970 $ 588 $ 1.020 $ 536 $ 2.210 892

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

More Books

Students also viewed these Accounting questions

Question

25.0 m C B A 52.0 m 65.0 m

Answered: 1 week ago