Question: Q E Cafe x is selling coffee in three different sizes at the prices and costs shown in the first table below. As shown in
QE
Cafe is selling coffee in three different sizes at the prices and costs shown in the first table below. As shown in the second table, they are considering raising the price of their small to and they preject that sales of smalls will go down while sales of medlums and larges will go up silightjy. Fill out the tables below to calculate the projected change in gross margin based on the estimated changes in cups sold. You may find it helpful to use a spreadsheet for the calculations.
Curems Pulees
tableDiten per cup,Cost per Cup,Guposold,Rovenus,Gross MarsinSumbll$$STotet
Inereased Putea for Small cofico
tabletableDiesperappcostpercipsesta,Roventes,cocs,Gress MarethSnallMecthmSSOSngesSaso,
Change in Cross Margin positive number for increase, negative for decrease:
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