. The school cafeteria can make pizza for approximately $0.30 per slice. The cost of the kitchen use and cafeteria staff runs about $200 per day. The Pizza Den nearby will deliver whole pizzas for $9.00 each. The cafeteria staff cuts the pizza into eight (8) pieces and serves them in the usual cafeteria line. With no cooking duties, the staff can be reduced by half, for a fixed cost of $75 per day. Should the school cafeteria make or buy pizza? Calculations are needed to justify the answer. (Please apply the indifference point formula for this exercise).
. The school cafeteria can make pizza for approximately $0.30 per slice. The cost of the kitchen use and cafeteria staff runs about $200 per day. The Pizza Den nearby will deliver whole pizzas for $9.00 each. The cafeteria staff cuts the pizza into eight (8) pieces and serves them in the usual cafeteria line. With no cooking duties, the staff can be reduced by half, for a fixed cost of $75 per day. Should the school cafeteria make or buy pizza? Calculations are needed to justify the answer. (Please apply the indifference point formula for this exercise).
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter4: Linear Programming Models
Section: Chapter Questions
Problem 111P
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(Please apply indifference point formula for this exercise)
1. The school cafeteria can make pizza for approximately $0.30 per slice. The cost of the kitchen use and cafeteria staff runs about $200 per day. The Pizza Den nearby will deliver whole pizzas for $9.00 each. The cafeteria staff cuts the pizza into eight (8) pieces and serves them in the usual cafeteria line. With no cooking duties, the staff can be reduced by half, for a fixed cost of $75 per day.
Should the school cafeteria make or buy pizza?
Calculations are needed to justify the answer. (Please apply the indifference point formula for this exercise).
Excel spreadsheet would be great!.
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