contestada

Rhianna is in charge of a facility which produces and sells roast coffee. Her expense sheet can be seen below. Item Cost Rent $23,280/mo. Salaries $45,860/wk. Raw coffee $0.51/lb. Insurance $19,750/mo. Advertising $22,110/mo. Coffee roasting $0.32/lb Rhianna’s coffee sells for $2.89 per pound. How much coffee must her facility sell each month to break even, to the nearest hundred pounds? a. 120,700 pounds b. 104,400 pounds c. 96,700 pounds d. 53,900 pounds

Respuesta :

18adonner
a. 120,700 pounds
I just took the pre-test and this is the right answer.
Parrain

Based on the variable and fixed costs of producing and selling the coffee at Rhianna's facility, the units to breakeven is a. 120,700 pounds.

What is the breakeven coffee sales quantity?

This can be found as:

= Fixed costs / (Selling price - Variable costs per unit)

Solving gives:

= (23,280 + (45,860 x 4 months) + 22,110 + 19,750) / (2.89 - 0.51 - 0.32)

= 248,580 / 2.06

= 120,700 pounds

Find out more on breakeven quantities at https://brainly.com/question/9212451.

#SPJ2

Otras preguntas