Question
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 a45% contribution margin ratio. The company's fixed costs are $15,770,000(that is, $78,850per service outlet).
I was able to figure out the break even cost in dollars for oil changes and break repair
Oil Changes: 50464000
Brake Repair: 12616000
I need help calculating the dollar amount for each service, if the company has a desired net income of 54,000$
Oil Changes:
Break Repair:
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