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Annual break-even quantity

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Reference no: EM131923431

Consider the following data from the "Corner Breakfast Shop":

Salaries:                                                          $3900 a month

Paper supplies:

(Cups, plates, utensils, and napkins)              $0.20 per meal

Rent:                                                               $750  a month

Material:

(Bagels, cream cheese, coffee, sugar)            $0.85 per meal

Insurance:                                                       $35    a week

Property taxes                                                $ 4260 a year

If the price for Bagel, cream cheese, and coffee is $2.50, Find :

a. The Annual Break-even Quantity (BEQ).

b. The Break-even Revenue (BER), using two methods.

Reference no: EM131923431

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