Question: Question 1. (6 points) Consider the following data for Brenda's and Cole's - two restaurants: Brenda's Cole's Annual Fixed Cost $600,000 $200,000 Variable Cost per

Question 1. (6 points) Consider the following data for Brenda's and Cole's - two restaurants: Brenda's Cole's Annual Fixed Cost $600,000 $200,000 Variable Cost per Customer ? $10 Revenue per Customer $40 $20 (a) What is the breakeven volume (in annual number of customers) for Cole's? (3) (b) If the breakeven volume for Brenda's is 24,000, what is Brenda's variable cost per customer? (3) Question 2. (6 points) Consider the following data for Brenda's and Cole's - two restaurants: Brenda's Cole's Annual Fixed Cost $600,000 $100,000 Variable Cost per Customer $5 $10 Revenue per Customer $15 $15 (a) What will be Brenda's annual profit (in $) if it serves 100,000 customers in a year? (3 ) (b) How many customers must Cole's serve annually to make an annual profit of $500,000? (3)

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