##### I need help with this question part A

 Management Tutor: None Selected Time limit: 1 Day

Janelle Heinke, the owner of Ha’Peppas! is considering a new oven in which to bake the firm’s signature dish, vegetarian pizza. Oven type A can handle 22 pizzas an hour. The fixed costs associated with oven A are \$20,000 and the variable costs are \$2.00 per pizza. Oven B is larger and can handle 44 pizzas an hour. The fixed costs associated with oven B are \$35,000 and the variable costs are \$1.50 per pizza. The pizzas sell for \$12 each. A) What is the break-even point for each oven?

Aug 3rd, 2015

F/P-V=20,000/12-2=1664.66 Pizza for oven A

F/P-V=35,000/12-1.50=2915.16 Pizza for oven B

Aug 3rd, 2015

Okay the first problem is wrong for Pizza oven A

Aug 3rd, 2015

Aug 3rd, 2015

Sorry little calculation mistake:

Check now:

F/P-V=20,000/12-2=2000 Pizza for oven A

F/P-V=35,000/12-1.50=3333.33 Pizza for oven B

Aug 3rd, 2015

got it?

Aug 3rd, 2015

hold on

Aug 3rd, 2015

its correct

Aug 3rd, 2015

Good

Aug 3rd, 2015

If the owner expects to sell 8000 pizzas, which oven should she purchase?

this question also

Aug 3rd, 2015

Aug 3rd, 2015

okay then hold on

Aug 3rd, 2015

Thank you dear

Aug 3rd, 2015

Aug 3rd, 2015

ok

Aug 3rd, 2015

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Aug 3rd, 2015
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Aug 3rd, 2015
May 23rd, 2017
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