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Sophia's Restaurant served 5,300 meals last quarter. Sophia recorded the following costs with those meals. Variable costs: Ingredients used Direct labor Indirect materials and
Sophia's Restaurant served 5,300 meals last quarter. Sophia recorded the following costs with those meals. Variable costs: Ingredients used Direct labor Indirect materials and supplies Utilities Fixed costs: Rent Managers' salaries Depreciation on equipment (straight-line, time basis) Other costs $14,300 11,100 5,900 2,090 23,500 19,500 3,500 3,600 Required: Suppose that Sophia expects to serve 20 percent more meals in the next quarter. Unit variable costs are expected to remain unchanged. However, Sophia knows that if the restaurant serves over 5,830 meals in a quarter, she must hire an additional manager (part-time) at a cost of $7,050 for the quarter. Other fixed costs are expected to increase by 10 percent. Calculate the unit cost and the total cost if 6,360 meals are served next quarter. (Round "Unit costs" answer to 2 decimal places.) Total variable costs Total fixed costs Total costs Unit costs
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