Question Question 7 (Breakeven Analysis) You decided to sell Qolx.coffee using Nespresso, machine during Ramadan The Nespresso Machine Cost is 3,000 SAR Every cup of coffee required one brown sugar that cost 0.5 SAR, one disposable cup costs 1.5 SAR, and one coffee capsule costs 3 SAR If you sell one coffee for 10 SAR Option 2 Option 1 No Employee Sales quantity = 1500 per month Selling Price 10 SAR per coffee One more Employee and his salary is 4000 Expected sales quantity = 2500 per month Selling Price 10 SAR per coffee What is the breakeven quantity? What is the breakeven quantity? What is the profit? What is the profit? Which option is better?

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter7: Proudction Costs
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Question 7 (Breakeven Analysis)
You decided to sell Qolx.coffee using Nespresso machine during Ramadan
The Nespresso Machine Cost is 3,000 SAR
Every cup of coffee required one brown sugar that cost 0.5 SAR, one disposable cup costs 1.5 SAR, and one
coffee capsule costs 3 SAR
If you sell one coffee for 10 SAR
Option 2
Option 1
No Employee
Sales quantity = 1500 per month
Selling Price 10 SAR per coffee
One more Employee and his salary is 4000
Expected sales quantity = 2500 per month
Selling Price 10 SAR per coffee
What is the breakeven quantity?
What is the breakeven quantity?
What is the profit?
What is the profit?
Which option is better?
Transcribed Image Text:Question / Question 7 (Breakeven Analysis) You decided to sell Qolx.coffee using Nespresso machine during Ramadan The Nespresso Machine Cost is 3,000 SAR Every cup of coffee required one brown sugar that cost 0.5 SAR, one disposable cup costs 1.5 SAR, and one coffee capsule costs 3 SAR If you sell one coffee for 10 SAR Option 2 Option 1 No Employee Sales quantity = 1500 per month Selling Price 10 SAR per coffee One more Employee and his salary is 4000 Expected sales quantity = 2500 per month Selling Price 10 SAR per coffee What is the breakeven quantity? What is the breakeven quantity? What is the profit? What is the profit? Which option is better?
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