The Night Owl Restaurant generates sales of $900,000 a month with variable costs of 30%.  The salmon burger is one of the restaurants’ most popular items with a price of $14 and a food cost of 30%.  The menu has 20 item and total sales average 20,000 menu items a month, of which 25% are Salmon burgers.  What is the profit factor for the salmon burger?

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter7: Budgeting
Section: Chapter Questions
Problem 13PB: Artic Camping Gears currently sells 35,000 units at $73 per unit. Its expenses are as follows:...
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The Night Owl Restaurant generates sales of $900,000 a month with variable costs of 30%.  The salmon burger is one of the restaurants’ most popular items with a price of $14 and a food cost of 30%.  The menu has 20 item and total sales average 20,000 menu items a month, of which 25% are Salmon burgers.  What is the profit factor for the salmon burger?

 

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