4. Garikai is a manager at Boniso's Mexican Restaurant (from the previous question), and he believes...

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4. Garikai is a manager at Boniso's Mexican Restaurant (from the previous question), and he believes that goal value analysis, rather than Boniso's matrix analysis, is a better way to study the profitability of his menu items. a. Using the following goal value analysis data, help Garikai analyze the restaurant's menu items. Item Food Cost % (in decimal form) Number Sold Selling Price Variable Cost % (in decimal form) Fajita Plate 0.38 147 $12.95 0.28 Enchilada Dinner 0.35 200 9.95 0.28 Menudo 0.25 82 6.95 0.28 Mexican Salad 0.30 117 7.95 0.28 Chalupa Dinner 0.28 125 8.95 0.28 Burrito Dinner 0.33 168 9.95 0.28 Taco Dinner 0.26 225 5.95 0.28 Overall Menu (Goal 0.32 152 8.95 0.28 Value) After computing the following goal values, sort (in descending rank order) by goal value. Be sure to include the overall menu in the appropriate rank order. Spreadsheet hint: Calculate the goal values by placing the ENTIRE goal value formula for each item in the Goal Value column as follows: (1 - food cost %) item popularity selling price (1 - (variable cost % + food cost %)). The table will not sort correctly if partial calculations for goal value exist in columns A, B, C, or D. For example, DO NOT calculate (1 - food cost %) in the A column or (1 -(variable cost % + food cost %)) in the D column. Goal Value Analysis Results Item "A" Food Cost % (in decimal form) "B" Number Sold "C" Selling Price "D" Variable Cost % (in Goal decimal form) Value b. After analyzing his menu items, Garikai believes he can improve the chalupa dinner by lowering the selling price to $8.55. He believes that this lower price will increase number of chalupa dinners sold to 150. However, the change in price will increase both his food cost percentage and variable cost percentage to 29 percent for the chalupa dinner. If he makes these changes, will the chalupa dinner meet or exceed the overall menu goal value? Should Garikai make these changes? Results of Changes Made to Chalupa Dinner Item "A" Food Cost % (in decimal form) "B" Number "C" Selling "D" Variable Cost % (in Goal Sold decimal form) Price Value Chalupa Dinner 4. Garikai is a manager at Boniso's Mexican Restaurant (from the previous question), and he believes that goal value analysis, rather than Boniso's matrix analysis, is a better way to study the profitability of his menu items. a. Using the following goal value analysis data, help Garikai analyze the restaurant's menu items. Item Food Cost % (in decimal form) Number Sold Selling Price Variable Cost % (in decimal form) Fajita Plate 0.38 147 $12.95 0.28 Enchilada Dinner 0.35 200 9.95 0.28 Menudo 0.25 82 6.95 0.28 Mexican Salad 0.30 117 7.95 0.28 Chalupa Dinner 0.28 125 8.95 0.28 Burrito Dinner 0.33 168 9.95 0.28 Taco Dinner 0.26 225 5.95 0.28 Overall Menu (Goal 0.32 152 8.95 0.28 Value) After computing the following goal values, sort (in descending rank order) by goal value. Be sure to include the overall menu in the appropriate rank order. Spreadsheet hint: Calculate the goal values by placing the ENTIRE goal value formula for each item in the Goal Value column as follows: (1 - food cost %) item popularity selling price (1 - (variable cost % + food cost %)). The table will not sort correctly if partial calculations for goal value exist in columns A, B, C, or D. For example, DO NOT calculate (1 - food cost %) in the A column or (1 -(variable cost % + food cost %)) in the D column. Goal Value Analysis Results Item "A" Food Cost % (in decimal form) "B" Number Sold "C" Selling Price "D" Variable Cost % (in Goal decimal form) Value b. After analyzing his menu items, Garikai believes he can improve the chalupa dinner by lowering the selling price to $8.55. He believes that this lower price will increase number of chalupa dinners sold to 150. However, the change in price will increase both his food cost percentage and variable cost percentage to 29 percent for the chalupa dinner. If he makes these changes, will the chalupa dinner meet or exceed the overall menu goal value? Should Garikai make these changes? Results of Changes Made to Chalupa Dinner Item "A" Food Cost % (in decimal form) "B" Number "C" Selling "D" Variable Cost % (in Goal Sold decimal form) Price Value Chalupa Dinner