Question: i Requirements + . 1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. 2. Lan believes most locations could


i Requirements + . 1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. 2. Lan believes most locations could generate $69,250 in monthly sales. Is franchising a good idea for Lan if franchisees want a minimum monthly operating income of $16,500? Explain your answer Print Done EM5-28 (similar to) Owner Sue Lan is considering franchising her Noodles by Lan restaurant concept She believes people will pay Read the requirements. Requirement 1. Use the contribution margin ratio approach to find a franchise's breakeven sales in dollars. Begin by showing the formula and then entering the amounts to calculate the breakeven point in sales dollars L ( Fixed costs Target profit ) - CM ratio = Required sales in dollars % + + t concept. She believes people will pay $8.00 for a large bowl of noodles. Variable costs are $4,80 per bowl Lan estimates monthly fixed costs for a franchise at $6,000
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