A college's food operation has an average meal price of $9.20. Variable costs are $4.35 per meal and fixed costs total $95,000. How many meals must be sold to provide an operating income of $33,000? How many meals would have to be sold if fixed costs declined by 23%? (round to the nearest meal) answer

A college's food operation has an average meal price of $9.20. Variable costs are $4.35 per meal and fixed costs total $95,000. How many meals must be sold to provide an operating income of $33,000? How many meals would have to be sold if fixed costs declined by 23%? (round to the nearest meal) answer

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 10E: Schylar Pharmaceuticals, Inc., plans to sell 130,000 units of antibiotic at an average price of 22...

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A college's food operation has an average meal price of $9.20. Variable costs are $4.35 per meal and fixed costs total $95,000. How many meals must be sold to provide an operating income of $33,000? How many meals would have to be sold if fixed costs declined by 23%? (round to the nearest meal) answer this accounting question
A college's food operation has an average meal price of $9.20. Variable costs are $4.35 per meal and fixed costs total $95,000. How many meals must be sold to provide an operating income of $33,000? How many meals would have to be sold if fixed costs declined by 23%? (round to the nearest meal)
How many meals would have to be sold if fix costs declined by 20% ? Accounting
Projected financial results for the university's cafeteria for next year are shown. Answer each of the following independent questions. Sales $944,000 Fixed Cost $597,000 Total Variable Cost $235, 470 Total Cost $832, 470 Net Income $111,530 (a) How much is the contribution margin and the contribution rate?(b) How much does the business need to sell to break even?(c) If the business was to spend $24,000 to upgrade their processes, how much does the business need to sell to break even?(d) If 9% more meals were sold, what would be the resulting net income?
Good Times Restaurant estimates the following costs for next year: fixed costs $120,000, variable cost per meal $15. If they want to earn a profit of $90,000 and charge $35 per meal, calculate the required number of meals. Accounting 23
Projected financial results for the university's cafeteria for next year are shown. Answer each of the following independent questions. (a) How much is the contribution margin and the contribution rate? (b) How much does the business need to sell to break even? (c) If the business was to spend $23,000 to upgrade their processes, how much does the business need to sell to break even? (d) If 3% more meals were sold, what would be the resulting net income? (a) The contribution margin is $. (Type an integer or a decimal.) Sales Fixed cost Total variable cost Total cost Net income $594,000 213,440 $893,000 807,440 $85,560
What is the procedure to answer these questions, please? Last year a local restaurant realized sales of $300,000 with fixed costs of $110,000 and total variable costs of $70,000. 1. What was the restaurants contribution rate (as a decimal) last year? 2. If the restaurant has the same contribution rate this year, what net income can be expected this year from a revenue of $180,000? 3. If the restaurant has the same fixed and variable costs this year, what sales this year will result in a profit of $29,000? 4. Suppose that the fixed costs this year rise to $130,000 and the variable costs remain the same. What is break-even revenue?
Currently, Sweet Treats Bakery sells 1,200 cupcakes per month. The owners would like to increase net income above what is currently earned. Fixed costs are $1,500 per month and their contribution margin is $3 per cupcake. What would be a reasonable net income goal? O $1,800 O $2,600 O $2,100 O $5,600
Answer and solution please. Thank you! Chow Foods operates a cafeteria for its employees. The operations of the cafeteria requires fixed costs ofP470,000 per month and variable costs of 40% of sales. Cafeteria sales are currently averaging P1,200,000 permonth. The company has the opportunity to replace the cafeteria with vending machines. Gross customerspending at the vending machines is estimated to be 40% greater than the current sale because the vendingmachines are available at all hours. By replacing the cafeteria with vending machines, the company wouldreceive 16% of the gross customer spending and avoid cafeteria costs. A decision to replace the cafeteria withvending machines will result in a monthly increase (decrease) in operating income ofa. P182,000 b. P258,000 c. (P588,000) d. P18,800
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Who Done It Mystery Theater sells tickets for dinner and a show for $55 each. The cost of providing dinner is $40 per ticket and the fixed cost of operating the theater is $100,000 per month. The company can accommodate 15,000 patrons each month. What is the contribution margin ratio?
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