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The Swift Meal has two restaurants that are open 24 hours a day. Fixed costs for the two restaurants together total $509,000 per year. Service
The Swift Meal has two restaurants that are open 24 hours a day. Fixed costs for the two restaurants together total $509,000 per year. Service varies from a cup of coffee to full meals. The average sales bill per customer is $9.50. The average cost of food and other variable costs for each customer is $3.80. The income tax rate is 30%. Target net income is $122,500. Required 1. Compute the revenue needed to earn the target net income. 2. How many customers are needed to earn net income of $122,500 ? How many customers are needed to break even? 3. Compute net income if the number of customers is 165,000 . customers are needed to earn net income of $122,500, and then compute the number of customers needed. (Round your answer up to the nearest whole number.) Determine the formula used to compute how many customers are needed to break even, and then compute the number of customers needed. (Round your answer up to the nearest whole number.) The Swift Meal has two restaurants that are open 24 hours a day. Fixed costs for the two restaurants together total $509,000 per year. Service varies from a cup of coffee to full meals. The average sales bill per customer is $9.50. The average cost of food and other variable costs for each customer is $3.80. The income tax rate is 30%. Target net income is $122,500. Required 1. Compute the revenue needed to earn the target net income. 2. How many customers are needed to earn net income of $122,500 ? How many customers are needed to break even? 3. Compute net income if the number of customers is 165,000 . customers are needed to earn net income of $122,500, and then compute the number of customers needed. (Round your answer up to the nearest whole number.) Determine the formula used to compute how many customers are needed to break even, and then compute the number of customers needed. (Round your answer up to the nearest whole number.)
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