2. Suppose that you are the manager of a studlo cafe, and you are planning to invest on a new camera and a coffee maker designed to increase the productivity of your employees and output (services) produced. Your analyst provided you the following Information: A. Complete the table below. Projected Sales and Profit Current Incremental Situation Revenues and Costs Total Revenue Php1,500,000 Php1,800.000 Variable Cost 575,000 425.000 Direct Fixed Cosis 625,000 700.000 Indirect Fixed Cosis 100,000 100.000 Profit B. Should the new camera and coffee maker be purchased? Explain your answer hased on the incromental analysis

Microeconomics: Private and Public Choice (MindTap Course List)
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Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter11: Price-searcher Markets With High Entry Barriers
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(MANAGERIAL ECONOMICS) Show algebraic solution please

2. Suppose that you are the manager of a studlo cafe, and you are planning to invest on a
new camera and a coffee maker designed to increase the productivity of your
employees and output (services) produced. Your analyst provided you the following
Information:
A. Complete the table below.,
Current
Situation
Projected Sales
and Profit
Incremental
Revenues and
Costs
Total Revenue
Php1,500,000
Php1,800,000
Variable Cost
575.000
425.000
Direct Fixed Cosis
625,000
700.000
Indirect Fixed Costs
100,000
100.000
Profit
B. Should the new camera and coffee maker be purchased? Explain your answer
based on the incremental analysis.
Transcribed Image Text:2. Suppose that you are the manager of a studlo cafe, and you are planning to invest on a new camera and a coffee maker designed to increase the productivity of your employees and output (services) produced. Your analyst provided you the following Information: A. Complete the table below., Current Situation Projected Sales and Profit Incremental Revenues and Costs Total Revenue Php1,500,000 Php1,800,000 Variable Cost 575.000 425.000 Direct Fixed Cosis 625,000 700.000 Indirect Fixed Costs 100,000 100.000 Profit B. Should the new camera and coffee maker be purchased? Explain your answer based on the incremental analysis.
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