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Wanda wants to open a health-food store. Her monthly expenses are rent $3,500, utilities of$1,000, insurance of $500, and payroll of $4,250. She estimates that her cost of goods isapproximately 65 percent of sales. Wanda would like to make $4,000 a month for herself
a. What is Wanda's contribution margin?
b. How much does she need in monthly sales to break even?
c. How much does she need in monthly sales to make a profit of $4,000?
d. Construct a break-even chart for Wanda's health-food store.
There are plenty of financing options, including: common stock, preferred stock, debt (many debt options), bank loans, and internal cash. Is there one financing mix that is better than the rest? Explain your rationale. Support your work with resea..
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Please show work and explain how to solve on a financial calculator.
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