Use the following information to answer questions 6 & 7 Trader Tom's makes and sells frozen 4-cheese pizzas, New York style. The expected selling price is $10 per pizza. The projected variable cost per pizza is $6. The estimated fixed costs per month are $12,000. Determine the number of pizzas that must be sold to make a monthly Net Income of $20,000? If fixed costs increase by $5,000 and 6,000 pizzas are sold in a given month, determine the Net Income for that month?
Use the following information to answer questions 6 & 7 Trader Tom's makes and sells frozen 4-cheese pizzas, New York style. The expected selling price is $10 per pizza. The projected variable cost per pizza is $6. The estimated fixed costs per month are $12,000. Determine the number of pizzas that must be sold to make a monthly Net Income of $20,000? If fixed costs increase by $5,000 and 6,000 pizzas are sold in a given month, determine the Net Income for that month?
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 6MC: Jansen Crafters has the capacity to produce 50,000 oak shelves per year and is currently selling...
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Use the following information to answer questions 6 & 7 Trader Tom's makes and sells frozen 4-cheese pizzas, New York style. The expected selling price is $10 per pizza.
The projected variable cost per pizza is $6.
The estimated fixed costs per month are $12,000.
Determine the number of pizzas that must be sold to make a monthly Net Income of $20,000?
If fixed costs increase by $5,000 and 6,000 pizzas are sold in a given month, determine the Net Income for that month?
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