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Question 1: CANDY SHOP is a candy stand in a mall. The average selling price of a 100 g of candy is $2.5 and the average variable expense per 100 g is $0.8. The average fixed expense per month is $2,300. An average of 42 KG is sold each month. What is the break-even sales in Dollars?
Option 1: $2628
Option 2: $3628
Option 3: $2644
Option 4: $3644
Question 2: Coffee Klatch is an espresso stand in a downtown office building. The average selling price of a cup of coffee is $1.49 and the average variable expense per cup is $0.36. The average fixed expense per month is $1,300. An average of 2,100 cups are sold each month. What is the operating leverage?
Option 1: 0.34
Option 2: 2.92
Option 3: 0.45
Option 4: 2.21
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