Need help on this question for break even points for school. missed a class and stump on this question.
Information Given:
Beer Contribution margin of : .60 cents a beer
Per month Fixed Expenses: $1560
Per Hamburger Variable Expense: .70 cents
Selling price of Hamburger: $1.10
Contribution margin hamburger = (1.10 - .70) = .40 cent
**based on 30 day month**
I figured out the break even points in dollars and per hamburger, but now they added the beer to the product. The question is:
1. At the end of 2 months, he sold 3600 hamburgers. What is the operating profit per month on hamburgers?
2. Owner thinks at least 60 beer are sold per day because he has hamburger. How does this affect ownders monthly operating income?
3. Refer to question #1. how m any extra beers would have to be sold per day so the effects of hamburgers sales on monthly operating income would be zero?
Information Given:
Beer Contribution margin of : .60 cents a beer
Per month Fixed Expenses: $1560
Per Hamburger Variable Expense: .70 cents
Selling price of Hamburger: $1.10
Contribution margin hamburger = (1.10 - .70) = .40 cent
**based on 30 day month**
I figured out the break even points in dollars and per hamburger, but now they added the beer to the product. The question is:
1. At the end of 2 months, he sold 3600 hamburgers. What is the operating profit per month on hamburgers?
2. Owner thinks at least 60 beer are sold per day because he has hamburger. How does this affect ownders monthly operating income?
3. Refer to question #1. how m any extra beers would have to be sold per day so the effects of hamburgers sales on monthly operating income would be zero?
