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Rio Coffee Shoppe sells two coffee drinksa regular coffee and a latte. The two drinks have the following prices and cost characteristics: Sales price (per
Rio Coffee Shoppe sells two coffee drinksa regular coffee and a latte. The two drinks have the following prices and cost characteristics: Sales price (per cup) Variable costs (per cup) Regular Coffee $1.50 0.60 Latte $ 2.60 1.20 The monthly fixed costs at Rio are $6,800. Based on experience, the manager at Rio knows that the store sells 80 percent regular coffee and 20 percent lattes. Required: How many cups of regular coffee and lattes must Rio sell every month to break even? Break-even Sales in Units Regular coffee Lattes
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