Question
How many pizzas would he need to sell per month in order to break-even? How many pizzas would he have to sell if he wanted
How many pizzas would he need to sell per month in order to break-even? How many pizzas would he have to sell if he wanted to make a monthly profit of $500, $1,000 and $2,000? Prepare a Monthly Profit and Loss Budget based on a desired profit of $2,000. Please use a Contribution Margin Format.
Supplies | Cost | Standard per pizza |
Pizza Oven | Donated by Jacks Father |
|
Cash Register | $10/month (3 year contract) |
|
Refrigerator and Other appliances | $0 (already included in rented space) |
|
Gluten-Free Pizza Crust | $100 for 50 crusts | 1 crust |
Organic Sauce | $10.00 for 20 cups | 1/2 cup |
Organic Cheese Blend | $2.00 for 2 cups | 1/2 cup |
Assorted Spices | $18.75 for 5 lbs ($0.05/tsp) | 1 tsp |
Labor | Cost | Standard |
Salary - Jack | $250/month $50/training day |
|
Salary Chef | $2,000/month |
|
Salary 2 Employees | $600 each /month |
|
Marketing | $100/month $1.00/pizza |
|
Accountant | $150/month |
|
Overhead |
|
|
Phone | $5/month |
|
Utilities (Electric, Gas, and Water) | $225/month |
|
Rent | $1050/month |
|
Estimated Variable MOH | $2.00/pizza |
|
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