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In pricing menu items, Coquitlam Grill restaurant uses the contribution margin pricing system. Maria Stevens, who works as the restaurants manager, has calculated that the

In pricing menu items, Coquitlam Grill restaurant uses the contribution margin pricing system. Maria Stevens, who works as the restaurants manager, has calculated that the cost to make a veggie burger is $4.60. Average sale per guest is $16. Average variable cost per guest is $10. Food cost percentage is 30%. Based on the contribution margin pricing system, the base selling price of the veggie burger should be

a.

$15.33

b.

$10.60

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