Question: Monthly Fixed Costs = 30000 Variable Costs/Meal Sold = 4 Average Selling Price = 12 Average Tax Rate = 25% 1. What is the cafes

Monthly Fixed Costs = 30000

Variable Costs/Meal Sold = 4

Average Selling Price = 12

Average Tax Rate = 25%

1. What is the cafes CM

2. What is the cafes CMR?

3. What is the monthly breakeven point in the meals sold?

4. If Dylan desires his cafe to make a montly profit of 5000 what must be its; a. pretax incom b. total revenue

5. When the cafe makes a monthly profit of 5000, what is its margin of safety?

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