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PDQ Repairs has 200 auto-maintenance service outlets nationwide. It performs primarily two lines of service: oil changes and brake repair. Oil change?related services represent80% of
PDQ Repairs has 200 auto-maintenance service outlets nationwide. It performs primarily two lines of service: oil changes and brake repair. Oil change?related services represent80% of its sales and provide a contribution margin ratio of20%. Brake repair represents20% of its sales and provides a40% contribution margin ratio. The company?s fixed costs are $15,580,000(that is, $77,900per service outlet).
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