Refer to Scenario 9

question 33

Multiple Choice

Refer to Scenario 9.8 below to answer the question(s) that follow.
SCENARIO 9.8: Investors put up $1,040,000 to construct a building and purchase all equipment for a new gourmet cupcake bakery. The investors expect to earn a minimum return of 10 per cent on their investment. The bakery is open 52 weeks per year and sells 900 cupcakes per week. The fixed costs are spread over the 52 weeks (i.e. prorated weekly) . Included in the fixed costs is the 10% return to the investors and $2,000 in other fixed costs. Variable costs include $2,000 in weekly wages, and $600 per week in materials, electricity, etc. The bakery charges $8 on average per cupcake.
-Refer to Scenario 9.8. Total revenue per week is

• A) $6,000.
• B) $7,200.
• C) $8,100.
• D) $9,500.

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Definitions:

Erroneous Reconstructions

Incorrectly pieced together memories or perceptions, often resulting from misinformation or memory distortions.

Schemata Representations

The mental structures that individuals use to organize and understand information.

Stimulants

Substances that increase alertness, attention, and energy by elevating the levels of certain chemicals in the brain.

Maze Learning

A method used in cognitive psychology and animal behavior studies to assess spatial learning and memory.