Question
Sam and Sally want to invest $500,000 in new restaurant. They need to achieve a 10% Return on that investment annually. The restaurant has fixed
Sam and Sally want to invest $500,000 in new restaurant.
They need to achieve a 10% Return on that investment annually.
The restaurant has fixed costs of $5,000 per month.
Their estimated variable costs are 72%
Currently, their draft menu has an average check of $18.75.
How many covers would they need to serve each month in order to achieve their profit goal?
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Heres how to calculate how many covers Sam and Sally need to serve each month to achieve their profit goal 1 Desired Annual Profit They want a 10 retu...
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Managerial Accounting Tools for Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
7th edition
978-1118334331, 1118334337, 978-1119036449, 1119036445, 978-1119036432
