Question: 1 - In the excel template provided, on the first tab of the spreadsheet, classify your costs as variable, fixed, or mixed, with at least
In the excel template provided, on the first tab of the spreadsheet, classify your costs as variable, fixed, or mixed, with at least a total of various costs
Note: Now that you have a more robust understanding of cost accounting you may need to add some overhead costs to your list. Think about both the delivery costs as well as the production facility costs.
On the second tab, prepare a highlow analysis of your electric costs and heating costs using the data provided. What is your fixed cost of electricity & heat? What is the variable cost of electricity & heat?
On the third tab, prepare a daily contribution margin income statement based on your cost card from Module Input these costs on the tab for supporting documentation.
Also list all your assumptions on the third tab about your fixed costs, sales level, selling and administration costs.
Calculate the contribution margin ratio on the third tab.
On the fourth tab, calculate the breakeven in number of pizzas per day. What is the breakeven in sales dollars each day? How many products must you sell to earn a daily profit of $ Does this seem realistic? begintabularcccc
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Show Calculations in cells provided
Daily Income Statement
Question to be answer and provide your calculations How many pizzas must you sell to earn a daily profit of $ Does this seem realistic?
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