School cafeteria make or buy its pizzas

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Reference no: EM1388354

The school cafeteria can make pizza for approximately $0.30 a slice. The cost of kitchen use and cafeteria staff runs about $200/day. The Pizza Den nearby will deliver whole pizzas for $9.00 each. The cafeteria staff cuts the pizza into 8 slices and serves them in the usual cafeteria line. With no cooking duties, the staff can be reduced to a fixed cost of $75 per day. Should the school cafeteria make or buy its pizzas?

Reference no: EM1388354

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