Tamati has been pleased with the success at Fush in recent years and is thinking about expanding to a 2nd location across the city. Fush 2 will have a slightly different approach while maintaining the current culture and mission of the organisation. Tamiti is tentatively planning for the following four categories of revenue: - Beer and Wine. He estimates that 15,000 drinks will be served, with a selling price of $9 and the cost to produce the drink is $7 - Fish Dinners/ The fish dinner will sell for $19.50, with a cost of $15. Selling 20,000 meals - Dessert. Will sell for $8 at a cost of $6.50. Selling 9,500 units - Lunch specials. Selling 10,000 in the next year. lunch prices will average $10 with a cost of $8. Expenses of Fush per month in rent and utilities is $5,300 and monthly labour costs estimated $7,600 monthly (fixed cost in this case). What is the breakeven point in dollar

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Tamati has been pleased with the success at Fush in recent years and is thinking about expanding to a 2nd location across the city. Fush 2 will have a slightly different approach while maintaining the current culture and mission of the organisation. Tamiti is tentatively planning for the following four categories of revenue:

- Beer and Wine. He estimates that 15,000 drinks will be served, with a selling price of $9 and the cost to produce the drink is $7

- Fish Dinners/ The fish dinner will sell for $19.50, with a cost of $15. Selling 20,000 meals

- Dessert. Will sell for $8 at a cost of $6.50. Selling 9,500 units

- Lunch specials. Selling 10,000 in the next year. lunch prices will average $10 with a cost of $8.

Expenses of Fush per month in rent and utilities is $5,300 and monthly labour costs estimated $7,600 monthly (fixed cost in this case).

What is the breakeven point in dollar

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