Question: please tell me the answer and please explain to me step by step on how you got your answers. and please explain the math you

please tell me the answer and please explain to me step by step on how you got your answers. and please explain the math you did to get your answers.
please tell me the answer and please explain to me step by
step on how you got your answers. and please explain the math
you did to get your answers. The owner of New Jersey Restaurant

The owner of New Jersey Restaurant is disappointed because the restaurant has been averaging 6,000 pizza sales per month, but the restaurant and wait staff can make and serve 7,500 plzzas per month. The variable cost (for example, ingredients) of each pizza is $1,40. Monthly foced costs (for example, depreciation, property taxes, business license, and manager's salary) are $9,000 per month. The owner wants cost information about different volumes so that some operating decisions can be made. (Click the icon to view the chart for Requirement 1.) Read the requirements. Requirement 1. Use the chart beiow to prowide the owner with the cost information. Then use the completed chart to help you answer the remaining guentlons. (Eiter total variable costs to the nearest dollar, Enter costl per pirza, pice per pizzl, and proft per pizza to the nearest cent.) The cwner of New Jersey Restaurant is disappointed because the restaurant has beon averaging 6,000 pizza sales per month, but the restaurant and wait staff can minke and serve 7.500 pizzas per month, The variable cost (for example, ingredlents) of each pizza is $1.40. Monthy fixed costs (for axaniple, depreciation, property taxes, business loenses and manubor's salary) are $9,000 per month. The owher wants cost information about different volumes so that some operating decielons can be made EHA (Click the icon to view the chart for Roquirement 1.) Read the reculrements. Requirements 1. Use the chart below to provide the owner with the cost information. Then use the completed chart to help you answer the remaining questions. 2. From a cost standpoint, why do companies such as New Jersey Restaurant want to operate near or at full capacity? 3. The owner has been considering ways to increase the sales volume. The owner thinks that 7,500 pizzas could be sold per month by cutting the selling price per pizza from $6.25 to $5.75. How much extra profit (above the current level) would be generated if aurant and wait staff preciation, property ta rating decisions can t \$6.25 to \$5.76. How much extra pront (above the current lever) would be generated if the seling price were to be decreased? (Hint: Find the restaurant's current monthil profit and compare it to the restaurant's projected monthly protit at the new sales price and volume.)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!