Imagine you've started a new pizza restaurant. It costs you about $6 to produce a pizza. Last week you sold 500 pizzas for $12 each. This week you raised your price and sold 300 pizzas for $16 each. What price should you be charging? (round to the nearest penny)

Imagine you've started a new pizza restaurant. It costs you about $6 to produce a pizza. Last week you sold 500 pizzas for $12 each. This week you raised your price and sold 300 pizzas for $16 each. What price should you be charging? (round to the nearest penny)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: None

A: a. October 14 Journal EntryTotal Gross Payroll: $171,000Employee Contribution (6%): 171,000 × 6% =…

Q: Please answer all options solution for which option is correct and which option is incorrect, don't…

A: Step 1: Calculate Equivalent Units for Conversion (FIFO method) In the FIFO method, we calculate…

Q: Don't use Ai and chatgpt. Answer in step by step with explanation.

A: Federal taxes are a requirement for all American businesses, and they have an immediate impact on…

Q: Give true answer don't use ai

A: Step 1: Define Interest ExpenseInterest expense is the cost of borrowing money. It includes the…

Q: Need help

A: To determine the cheapest source of financing for Hand-to-Mouth Company, we need to calculate the…

Q: Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead data follow.…

A: 1. Compute Departmental Overhead Ratesa) Fabricating Department (using Machine Hours)Budgeted…

Q: None

A: Step 1: Define Account ReceivablesAccounts receivable, a liquid asset of the business, implies the…

Q: Please need answer

A: Step 1: Define Contribution MarginThe contribution margin is the surplus of the selling price over…

Q: Get Finance Question solve

A: Explanation of Efficient Market Hypothesis (EMH):The EMH states that financial markets are…

Q: Help me with this question

A: Accounts Receivable Turnover Ratio and Average Collection Period for Honda Motor Co., Ltd. Accounts…

Q: What was the cash coverage ratio for the year?

A: Step 1: Define Cash Coverage RatioThe cash coverage ratio refers to the financial ratio that shows…

Q: Provide information and explanation

A: Answer to 1)For Labor VariancesStandard Quantity = 9,450 UnitsActual Quantity = 9,450 UnitsStandard…

Q: Intercompany Downstream Sales, Cost Method LO 6 Pruitt Corporation owns 90% of the common stock of…

A: Step 1: Elimination of Investment in Subsidiary (Sedbrook) Why is this necessary? When consolidating…

Q: What is its times interest earned ratio?

A: To calculate the Times-Interest-Earned (TIE) ratio, follow these steps:Step 1: Calculate EBIT…

Q: 8.4 Chevron Corporation purchased a truck by issuing an $80,000, four-year, non-interest-bearing…

A: Step 1: Calculate the Present Value (Purchase Price)The present value (PV) of a lump sum payment is…

Q: 20.

A: To determine the net profit under variable costing, we need to account for the differences in how…

Q: Customer Care specialist x Bloomerang Customer Sup x MFwd: Claims Support Spec × Indeed Resume x…

A: The question asks for the following:1. Contribution format income statement for the game last…

Q: None

A: Here's a clearer breakdown of each option:A) To provide information for internal…

Q: Don't Use AI

A: 1. Initially, the operating expense was overstated by $2.3 million, which is the cost of the…

Q: On December 31, 2020, Dyer Inc. completed its first year of operations. Because this is the end of…

A: a. Unpaid earnings that have been earned but not yet processed are listed in this entry. By year's…

Q: 6 2 points Sales Variable expenses Contribution margin Fixed expenses Total Per Unit $ 306,000 $ 20…

A: Problem 5Breakeven point is the sales level where revenue is equal to expenses, meaning no income…

Q: If you give me wrong answer, I will give you UN helpful rate.

A: Current Debt & Equity:Debt-to-assets ratio = 44%Debt = $355,000 × 44% = $156,200Equity =…

Q: Hard Hat Company is in the process of purchasing several large pieces of equipment from Machine…

A: To determine the best financing alternative for Hard Hat Company, we need to compare each option's…

Q: Answer in step by step with explanation. Don't use Ai and chatgpt

A: Estimated warranty cost at 3% of sales for 2025Warranty Cost=Sales for 2025 × Estimated…

Q: 8.3 Northern Star Corporation incurred the following costs in constructing a new maintenance…

A: 1. IFRSUnder IFRS, the costs to be capitalized include all costs directly attributable to bringing…

Q: I need help trying to find the federal income taxes and the regular tax gain from sale of an asset.

A: 1. Start with taxable income: Taxable income: $1,150,000 2. Subtract federal income taxes:…

Q: Kahleeah maintains an office in her home where she conducts a dressmaking business. During the year…

A: Step 1: Identify the incomeKahleeah earned $4,000 from sales in her dressmaking business.Step 2:…

Q: ljm

A: Step 1: Step 2: Step 3: Step 4:

Q: Provide solution

A: The rate of return on a bond that is expected to be kept until it matures is called the Yield to…

Q: Backus Inc. reported a loss of $500,000 in 2022. The company reported taxable income of $125,000 in…

A: The 2022 tax loss can be carried back to offset taxable income from previous years under loss…

Q: None

A: From the table, we can see:Gross Pay: $481.00CPP: $22.32EI: $8.60Federal Tax: $51.02Provincial Tax:…

Q: Hi expart Provide solution

A: Step 1: Define Direct Labor VarianceThe total direct labor cost variance can be bifurcated into…

Q: If you give me wrong answer, I will give you unhelpful rate

A: Step 1: Introduction to the Gain on SaleIf a firm sells its asset over its carrying amount, it is…

Q: rmn

A: Hi Student, please let me know if there is a specific way to put the impacts on the table. Ask for…

Q: 6-20 CVP Appications: Break-Even Analysis; Cost Structure; Target Sales

A: Cost-Volume-Profit (CVP) analysis is a critical tool for understanding the relationship between a…

Q: Thor Inc. owns 25% of the common shares of Loki Corp. The other 75% of the shares are owned by the…

A: To address this problem, let's break it down into the required parts:1. Considerations for…

Q: Rolls-Royce, the luxury automobile manufacturer, is considering a production process for its Ghost…

A: Rolls-Royce Production Process: Cost Comparison and Indifference PointCurrent Process Costs:Variable…

Q: Ans

A: Detailed explanation:1. P&G would account for the purchase by recording the assets and…

Q: Tent Master produces Pup tents and Pop-up tents. The company budgets $312,000 of overhead cost and…

A: Step 1: Compute the Activity Rate for Each ActivityThe activity rate is calculated as…

Q: Need help

A: a. Determine the total two-year interest cost under each plan.Long-term fixed-rate plan:The interest…

Q: Get help

A: Step 1: First, we will calculate Cost of Goods Sold (COGS)COGS = (Beginning direct material…

Q: Selected data of Islander Company follow: As of December 31, Balance Sheet Data 20X1…

A: The accounts receivable turnover is calculated by dividing the net credit sales by the average…

Q: Not use ai please don't

A: Taxable Interest Income:Annual coupon payment = Par value * Coupon rate = $12,000 * 9% =…

Q: General accounting

A: To determine if Kellogg should implement the Just-In-Time (JIT) inventory system based on financial…

Q: Hu

A: Explanation of Preferred Stock:Preferred stock represents ownership in a company, but it comes with…

Q: Special order, short-run pricing. Diamond Corporation produces baseball bats for kids that it sells…

A: The variable cost per bat is the sum of the costs of direct materials, variable direct manufacturing…

Q: Provide answer

A: Here's an explanation of each option:A) Recognizing revenue when cash is receivedExplanation: This…

Q: Give true answer

A: Key ConceptsNet Income: This is the company's total profit after all expenses and taxes have been…

Q: Thompson Handyman Services has total assets for the year of $18,400 and total liabilities of $9,050.…

A: Step 1: Define Accounting EquationThe accounting equation is the cornerstone of double-entry…

Q: None

A: Step 1: Define Sales RevenueThe revenue earned by selling goods to the customers is called the sales…

Question

Imagine you've started a new pizza restaurant. It costs you about $6 to produce a pizza.

Last week you sold 500 pizzas for $12 each.

This week you raised your price and sold 300 pizzas for $16 each.

What price should you be charging? (round to the nearest penny)

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

Let's say you spend $10,125 to open up a pie store. The retail price of pies is $13, and each pie costs you $3 to make. What is the break even point? (i.e., what is the number of pies you must sell to break even?).
You have a business selling and delivering pizzas to businesses for lunch. You pay $4,000 per month in rent, $320 for utilities, and $2,000 a month for salaries. You also have delivery cars that cost $1,000 per month. Your variable costs are $8 per pizza for ingredients and $4 per pizza for delivery costs. You sell the pizzas for $20 each. Round up if necessary What is the number of pizzas you need to sell to break even for the month If you want to make a profit of 2,000 per month, how many pizzas do you need to sell? Round up if necessary Go back to the original numbers If the price of cheese goes up and your variable costs go by $3 what is your new break even in pizzas if you increase your price to $21 Round up if necessary Golden Company has a fleet of delivery trucks and has the following Overhead costs per month with the miles driven Miles Driven Total Costs March 50.000 194.000 Aprill 40.000 170.200 this is the low May 60.000 217.600 June 70.000 241.000 Use the High-Low method to…
A local pizza shop owner decides to hire an economic consultant to help him set his prices. Currently, one slice of pizza costs $2 and the store sells about 800 slices per week. The pizza shop's current revenue from sales is equal to $____. The economic consultant estimates that the price elasticity of demand is equal to -0.25, and suggests that the shop owner should increase the price of a slice of pizza by $0.50; that is, the consultant recommends increasing the price of pizza by ____%. The consultant claims that doing so would (a. Increase b. Decrease or C.have no effect on)_____ the number of slices sold by ____% or ____ slices. As a result, the economist predicts that the new revenue would be ____ Thus as a result of the increase in the price there is ____ in revenue. This is due to the fact that the pizza shop owner was operating on the ____ portion of the demand curve. (fill in the blanks)
Suppose your company sells a 3 pack of lenses that attach to smart phones to improve the quality of pictures people take. You pay 29.95 for each 3 Pack and sell them for 59.95. What is hyour Cost of Goods Sold Perrcentage for htis item? Suppose you sell 8,000 of the 3 pack of lenses described in question 3 above in one year. Your cost on each 3 pack is 29.95 and you sell them for 59.95. If your operating expenses for the year total 144,080, what are your net income and net profit margin percentage?
You are buying and reselling items found at your local thrift shop. You found an antique pitcher for sale. If you need a 46% markup on cost and know most people will not pay more than $25 for it, what is the most you can pay for the pitcher? Note: Round your answer to the nearest cent. Maximum pay I
You are opening a coffee shop. You estimate the weekly costs of $375 for rent, $2100 for employee costs, and $125 for miscellaneous costs. The ingredients and material cost for each cup of coffee is 0.35 (cents) per cup. 1) Create a cost function for the coffee shop. 2) If the investors estimate that they will be able to sell 1100 cups of coffee per week. How much should they charge per cup to make a profit? Justify your answer and/or explain.
Please solve C, D, and E.
please solve F
Suppose you want to save money to buy a new car. Based on your monthly budget, you can afford up to $275 per month. You can either put this in a savings account to save the money or you can use it for a monthly car payment. In any case, you start hitting the car lots to start shopping.(a) You first go to a used car lot. You find a used Corolla for $6000. The dealer offers you a loan at 5% add-on interest over 3 years. Do the calculation and decide whether this fits into your budget.(b) You also check out some new cars. You find a new Corolla for $19,500. The dealer offers you a loan at a rate of 4.5% interest, compounded monthly, over 5 years. Do the calculations and decide if itfits into your budget.(c) You start thinking...maybe I should save up a down payment for a car before buying it outright. So you decide to save your $275 per month for 2 years by putting it into a savings account that earns 1.5% interest, compounded monthly. Use this to figure out how large of a down payment…
Solve each of the following questions using both pricing formulas and Excel. 5. You are managing a small company and need to buy some equipment for your product line. Kangaroo Manufacturing is offering free credit on a $20,000 piece of equipment. You pay down $2,000 and then $600 a month for the next 30 months. Turtle Machines does not offer free credit but will give you $2,000 off the list price. If the rate of interest is 10% (APR) a year, which company is offering a better deal?
Customer three found a hair in their taco. To make up for it, you gave 40% off their order, but they still had to pay a 4.5% sales tax. What is the new cost of the order?
Please help me fast