A college's food operation has an average meal price of $7.00. Variable costs are $3.75 per meal and fixed costs total $75,000. How many meals must be sold to provide an operating income of $30,000? How many meals would have to be sold if fixed costs declined by 20%? (round to the nearest meal) A. 24,698 B. 27,002 C. 27,692 D. 26,667
A college's food operation has an average meal price of $7.00. Variable costs are $3.75 per meal and fixed costs total $75,000. How many meals must be sold to provide an operating income of $30,000? How many meals would have to be sold if fixed costs declined by 20%? (round to the nearest meal) A. 24,698 B. 27,002 C. 27,692 D. 26,667
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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