Fixed cost
RENT 25000
INSURANCE 5000
UTILITIES 10000
COMMUNICATION 5000
DEPRECIATION 10000
TAXES 5000
Labor 15000
REPAIRS 5,000
COST-food 12000
COST-Wine 4,000
LINEN 2,000
98000
Total fixed cost: $ 98000
We get the weighted share of profit:
Share*Margin
Share Item Cost Sale Price Margin Weighted margin
50% CHAR GRILLED PORTERHOUSE STEAKS 10 20 10 5
25% WHOLE BAKED LOBSTER 16 32 16 4
25% STEAMED ALASKAN CRAB LEGS 18 38 20 5
50% JUMBO BAKED POTATO 1 2 1 0.5
(25+25)% 50% RICE PILAF WITH SAUTED WILD MUSHROOMS 1 3 2 1
100% GLASS OF WINE 1 3 2 2
17.5
17.5 n = 98000 For Break even
n= 5600
Share*Margin (Share*n)
Share Item Cost Sale Price Margin Weighted margin Units sold
50% CHAR GRILLED PORTERHOUSE STEAKS 10 20 10 5 2800
25% WHOLE BAKED LOBSTER 16 32 16 4 1400
25% STEAMED ALASKAN CRAB LEGS 18 38 20 5 1400
50% JUMBO BAKED POTATO 1 2 1 0.5 2800
(25+25)% 50% RICE PILAF WITH SAUTED WILD MUSHROOMS 1 3 2 1 2800
100% GLASS OF WINE 1 3 2 2 5600
17.5
17.5 n = 98000
n= 5600
So
Item Units sold
CHAR GRILLED PORTERHOUSE STEAKS 2800
WHOLE BAKED LOBSTER 1400
STEAMED ALASKAN CRAB LEGS 1400
JUMBO BAKED POTATO 2800
RICE PILAF WITH SAUTED WILD MUSHROOMS 2800
GLASS OF WINE 5600
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