Question
Question Content Area Oxford Coffee Company provides coffee drinks in its quaint caf, as well as delivers its products to events organized by local businesses
Question Content Area
Oxford Coffee Company provides coffee drinks in its quaint caf, as well as delivers its products to events organized by local businesses and the nearby university. Oxford Coffee Companys cafe sells drinks at an average price of $4.25 and incurs an average variable cost per drink of $1.75. The caf also incurs annual direct fixed costs of $75,000 for building and furniture leases. Oxford Coffee Companys average delivery service charges $25.00 per delivery and incurs $15.00 of variable cost per delivery. The delivery service also incurs annual direct costs of $24,000 to rent a vehicle for making deliveries and for a special parking pass. Oxford Coffee Companys annual common fixed costs for advertising and brewing equipment equal $55,000. Last year, Oxford Coffee Company sold 95,000 drinks and made 1,250 deliveries.
Use the minus sign to indicate negative numbers. Round your answer to the nearest dollar
A. The segment margin for the caf last year was $fill in the blank 1.
B. The segment margin for deliveries last year was $fill in the blank 2.
C. Oxford Coffee Company's operating income last year was $fill in the blank 3.
D. If Oxford Coffee Company stopped offering deliveries, its operating income would be $fill in the blank 4
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