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The owner of Big Burger Restaurant wants to determine the unit cost associated with their 10,000 sales of burgers for January 201A. The variable expenses per burger: Burger patty P5.50 Bread 2.00 Ketchup 0.50 Lettuce 6.00 Mayonnaise 0.50 Total variable cost P14.50   The fixed expenses are as follows: Labor P5,500 Rent 2,500 Insurance 500 Advertising 2,000 Utilities 4,800 Total fixed cost P15,300

The owner of Big Burger Restaurant wants to determine the unit cost associated with their 10,000 sales of burgers for January 201A. The variable expenses per burger: Burger patty P5.50 Bread 2.00 Ketchup 0.50 Lettuce 6.00 Mayonnaise 0.50 Total variable cost P14.50   The fixed expenses are as follows: Labor P5,500 Rent 2,500 Insurance 500 Advertising 2,000 Utilities 4,800 Total fixed cost P15,300

Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 6EA: Reubens Deli currently makes rolls for deli sandwiches it produces. It uses 30,000 rolls annually in...
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The owner of Big Burger Restaurant wants to determine the unit cost associated with their 10,000 sales of burgers for January 201A.

The variable expenses per burger:

Burger patty

P5.50

Bread

2.00

Ketchup

0.50

Lettuce

6.00

Mayonnaise

0.50

Total variable cost

P14.50

 

The fixed expenses are as follows:

Labor

P5,500

Rent

2,500

Insurance

500

Advertising

2,000

Utilities

4,800

Total fixed cost

P15,300
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