Question
Julianna Abdallah owns and operates FirstCakes, a bakery that creates personalized birthday cakes for a child's first birthday. The cakes, which sell for $56 and
Julianna Abdallah owns and operates FirstCakes, a bakery that creates personalized birthday cakes for a child's first birthday. The cakes, which sell for $56 and feature an edible picture of the child, are shipped throughout the country. A typical month's results are as follows:
Sales revenue$864,640
Variable expenses648,480
Contribution margin216,160
Fixed expenses102,340
Operating income$113,820
How many cakes will Julianna Abdallah have to sell if she wants to earn $136,458 in operating income each month?
can you please walk me through the steps to solve this problem.
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