The owner of New Jersay Restaurant is disappointed because the rertaurant has been averaging 6 .000 pocza sales per month, but the rostaurant and wait stafl can make and serve 7,500 pizzas per month. The varlable cost (for example, ingredents) of each plrza is \$1.40. Monthly foxed costs (for example, depreciation, pioperty taxes, business license and manage's salary) are 59,000 per month. The owner wants cost information about different volumes so that sorne operafing decisions can be made (Click the icon to vicw the chart for Roquirement 1.) Requirement 1. Use the chart below to provide the owner with the cost inlocmation. Then use the completed chart to help you answer the remaining quastions. (Enter total variable costs to the noarest dollar. Enter costs per picza, price per plzza, and profit per plzzit to the nearest cent) equirement 2. Fromn a cost standpoint, why do companies such as Now Jersoy Restaurant want to operate near or at full capacity? ompanies want to run at full capacily to better utilice the resources they spend on costs The more units they produce, the the equirement 3. The owner has been coesidering ways to increase the sales volume. The owner thinks that 7.500 pizzas could be sold per menth by cutling the selling price. po 6za from $6.25 to $575. How much extra profit (above the curtent level) would be generated if the selling peice were to be docreased? (Htint Find the restaurant's current mon rofit and compare it to the festaurants projocted monthly proti at the new sales price and volume) Data table za sales per month, but the osts (for example, depreciati that some operating decision d chart to help you answer the The owner of New Jersay Restaurant is disappointed because the rertaurant has been averaging 6 .000 pocza sales per month, but the rostaurant and wait stafl can make and serve 7,500 pizzas per month. The varlable cost (for example, ingredents) of each plrza is \$1.40. Monthly foxed costs (for example, depreciation, pioperty taxes, business license and manage's salary) are 59,000 per month. The owner wants cost information about different volumes so that sorne operafing decisions can be made (Click the icon to vicw the chart for Roquirement 1.) Requirement 1. Use the chart below to provide the owner with the cost inlocmation. Then use the completed chart to help you answer the remaining quastions. (Enter total variable costs to the noarest dollar. Enter costs per picza, price per plzza, and profit per plzzit to the nearest cent) equirement 2. Fromn a cost standpoint, why do companies such as Now Jersoy Restaurant want to operate near or at full capacity? ompanies want to run at full capacily to better utilice the resources they spend on costs The more units they produce, the the equirement 3. The owner has been coesidering ways to increase the sales volume. The owner thinks that 7.500 pizzas could be sold per menth by cutling the selling price. po 6za from $6.25 to $575. How much extra profit (above the curtent level) would be generated if the selling peice were to be docreased? (Htint Find the restaurant's current mon rofit and compare it to the festaurants projocted monthly proti at the new sales price and volume) Data table za sales per month, but the osts (for example, depreciati that some operating decision d chart to help you answer the
