Ashley Dragos Accounting Project

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MBA 511 - Managerial Accounting Professor Schloemer February 1, 2011 Ashley Dragos 1

description

As a business consultant, I had to determine whether or not it would be profitable for the investors of the Seafood Restaurant to invest in this business decision, given various circumstances.

Transcript of Ashley Dragos Accounting Project

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MBA 511 - Managerial AccountingProfessor Schloemer

February 1, 2011Ashley Dragos

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Dinner $8.50 per item

Lunch $6.25 per item

Drink $1.00 per item

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Cooking Equipment

Dishes

Decorations

Furniture

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Fixed Expenses $72,826.56

Contribution Margin Ratio 31.22%= $233,268.93

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Fixed Expenses + $7,200 $80,026.56

Contribution Margin Ratio 31.22%= = $256,331.07

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Net Income $6,586.56

Average O/E $63,293.28= = 10.41%

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Sales $254,400

COGS $100,656

Gross Margin $153,744

Selling, General & Administrative Expenses $147,157.44

Net Income $6,586.56

Sales $254,400

Variable Expenses $174,986.88

Contribution Margin $79,413.12

Fixed Expenses $72,826.56

Net Income $6,586.56

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