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A florist wants to open her own retail store, She researches the prices charged at three local competitor salons and estimates she can average $30 per flower
arrangement. Her goal is to have her new salon break even within one year of opening. For this analysis, the hair stylist must estimate fixed costs, variable costs,
and how many customers visits (units) will be needed to break even.
Given the following costs:
Flowers per sale = $3
Vase = $3
Annual rent = $36,000
Annual utilities = $3,600
Annual internet / telephone = $1,800
Annual wages= $80,000
Annual insurance = $6,000
Initial Equipment costs = $20,000
Match the correct figure to the appropriate location in the break-even formula.
Average Price = $30
GMetrix SMS7 v7.0.27
Fixed Costs = $147,400
int in unite 6142
0000
B

Sagot :

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