The owner of Brookyn Restaurant is disappointed because the restaurant has been averaging 5.000 pizza sales per month, but the restaurant and wait staff can make and serve 7,000 pirzas per month. The varable cost (for example, ingredients) of each pizza is $1.30. Monthly fxed costs (for example, depreciation, property taxes, business license, and manager's salary) are $7,000 per month. The owner wants cost intormation about different volumes so that he can make some operating decisions Requirement 2. From a cost standpoint, why do companies such as Brooblyn Restaurant want to operate near or at full capacity? Companies want to run at full capacily to better utilize the resources they spend on costs. The more units they produce, the per unit Requirement 3. The owriet has been considering wiys to increase the sales volume. He boleves he could seil 7,000 pizzas a month by cuiting the sales price from \$6.25 a pirea to $5.75. How much extra profit (above the current level) would he generate if he decreased the sales price? (Hint Find the restauranf's current monthly proft and compare it to the restaurants projected monthly profit at the new sales price and volume.) Identify the profit formula and compule the monthy prosi at the current and the now volume