Reference no: EM132688386

Problem 1: Turo Turo stores are open for 15 hours a day (from 6:00 a.m. to 9:00 p.m.). It sells packaged meals at a price of P40 per meal. Variable cost per meal is P30 while total fixed costs for operation of all the stores amounted to 200,000 monthly. It is thinking to reduce its store hours to only 12 hours a day as this would reduce fixed costs (utilities and wages) by P60,000 a month. It is expected that the reduced store hours would result in loss of 1,500 packed meals monthly sales. The reduction in store hours would result in