The Swift Meal has two restaurants that are open $24$ hours a day. Fixed costs for the two restaurants together total

$$451,000$ per year. Service varies from a cup of coffee to full meals. The average sales check per customer is $$8\mathrm{.}20.$

The average cost of food and other variable costs for each customer is $$4\mathrm{.}10.$ The income tax rate is $30\%.$ Target net

income is $$114,800.$

Requirements

Compute the revenues needed to earn the target net income.

How many customers are needed to break even? To earn net income of $$114,800?$

Compute net income if the number of customers is $165,000.$

Requirement $1.$ Compute the revenues needed to earn the target net income.

Using the equation method, select the basic formula used to compute the revenues needed to earn the target net

income.

Revenues

The revenues needed to earn the target net income is