Question: Question: 7.2 Blake is considering adding a frozen custard machine to her snack bar in the Daze Inn. Annual fixed costs for machine rental,
Question: 7.2 Blake is considering adding a frozen custard machine to her snack bar in the Daze Inn. Annual fixed costs for machine rental, electricity, and maintenance are estimated 1 $500.00 The cost of ingredients is expected to be $1.00 per frozen yogurt. $3.50 The cup, lid, and straw will be approximately $0.50 per frozen yogurt. She anticipates a selling price of (A) What are the variable costs per each frozen yogurt? (B) What is the first year break-even point in number of frozen yogurts sold? (C) What is the break-even point in dollars? (D) If Blake sells 3700 frozen yogurts this year, how much profit will she retain?
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