Question
Hometown Bakery sells three types of doughnuts: glazed, jelly, and cake. The following table shows the sales price and variable costs for each type. The
Hometown Bakery sells three types of doughnuts: glazed, jelly, and cake. The following table shows the sales price and variable costs for each type. The bakery incurs $348,000 a year in fixed expenses. Assume that it sells 2 glazed doughnuts for every 1 jelly doughnut and every 1 cake doughnut.
DOUGHNUT TYPE | SALES PRICE | VARIABLE COST | |||
---|---|---|---|---|---|
Glazed | $0.38 | $0.22 | |||
Jelly | $0.54 | $0.49 | |||
Cake | $0.44 | $0.29 |
(a)
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How many doughnuts of each type will be sold at the breakeven point? (Round intermediate calculations and final answers for the number of doughnuts to the nearest whole, e.g. 5,275.)
Jelly doughnuts | Enter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest whole | |
---|---|---|
Cake doughnuts | Enter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest whole | |
Glazed doughnuts | Enter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest wholeEnter a number of doughnuts rounded to the nearest whole |
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