A11 x v fx B . C D E F G H 1 Chapter 6, Question 8 Ming has recently inherited the Quick Wok restaurant started by her parents. It is located in a busy strip shopping area surrounded by many office complexes, but it is also near many quick-service restaurants. 4 The Quick Wok has been successful because of the quality of its food, but Ming feels that it could do even better at lunchtime if she could create a value meal option to appeal to the price-conscious consumer. Because both a McDonald's and a Wendy's are within a quarter-mile of her store, she has 6 determined that her own value meal menu item needs to be priced at $1.00. She creates a stir-fry dish that, when served with white rice, has a portion cost of 65 cents. Her beverages have a cost of 20 cents. The beverages already sell for $1.00 each, and she does not want to raise this price. & She believes she could sell 75 of the new value meals per day if she offers the stir-fry dish at $1.00. As well, she seeks an overall product cost percentage of 35 percent. From historical data, she nows that 80 9 percent of her customers purchase a drink with their meals. 10 11 Item Cost 12 Value Meal and Beverage Number 13 Menu Item Sold 14 Stir Fry Dish 75 15 Beverage Total Selling Total Cost Price Total Sales Food Cost% Based on the information given, calculate the overall product cost percentage of the value meals and beverages. Would you advise Ming to go for it"? Why or why not? Answer: Food Cost% 25 Number of Beverages to Achieve Target Overall Product Cost Percentage Number Item Selling Total 26 Menu Item Sold Cost Total Cost Price Sales 27 Stir Fry Dish 75 28 Beverage Total 31 How How many beverages must be sold in addition to the value meals if Ming is to achieve her target food cost 32 percentage goal? Is this number feasible? 34 Answer: 06 07 08 Q10 +