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The No Doze Cafe coffee shop sells 50 different types of coffee to its patrons. It costs $4 for a cup of coffee. Each day
The No Doze Cafe coffee shop sells 50 different types of coffee to its patrons. It costs $4 for a cup of coffee. Each day it sells on average 500 cups of coffee. On the weekends it sells closer to 1000 cups of coffee. Here is a breakdown of the shops expenses per cup of coffee:
Item | Amount |
---|---|
Coffee/Water | $1.50 |
Paper Cup | $0.30 |
Sweetener | $0.20 |
Item | Amount |
---|---|
Labor | $100/day per employee |
Store Space Rent | $800/month |
If the shop sells 1000 cups on Saturday. What is Saturdays contribution margin?
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