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Question 2 - Costs I8 pointsl Gordon Ramsay runs a pasta restaurant. Each plate of pasta (with meat toppings] sells for $10. The variable cost
Question 2 - Costs I8 pointsl Gordon Ramsay runs a pasta restaurant. Each plate of pasta (with meat toppings] sells for $10. The variable cost per plate is $4.50. He currently sells 300 plates of pasta per day. Gordon is considering a price change. His xed cost stays the same. a. What is the minimum number of additional plates that he has to sell to be incremental breakeven on a price cut to $9.50? (2 points) b. lie-calculate the answer to part (a) assuming that after a price cut to $9.50, the variable cost per plate drops to $4.20 (3 points} c. Instead of incremental breakeven, Gordon decides that he will change prices only if he makes an extra $200 per day. What is the maximum decrease in the number of plates that he can tolerate and still achieve these additional prots on a price increase to $12? Assume that given the price increase, the variable cost faced by Gordon increases to $4.80. (3 points) Note: plates are measured by integers. Be careful rounding up or down
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