The Fixed Cost of Perfect Pizzas, a Pizza Restaurant, Is

question 74

Multiple Choice

The fixed cost of Perfect Pizzas, a pizza restaurant, is $400,000 per year. The cost of ingredients and chef to make one pizza is $6. If the customers would pay $10 to buy one pizza, Perfect Pizzas needs to sell at least _____ pizzas to avoid losses.

• A) 20,000
• B) 25,000
• C) 40,000
• D) 100,000

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Definitions:

Insight Learning

"A form of problem solving in which the organism develops a sudden insight into or understanding of a problem’s solution."

Operant Conditioning

A method of learning that occurs through rewards and punishments for behavior, where an association is made between a behavior and a consequence for that behavior.

Organisms Learn

The process through which living beings acquire new information or behaviors through experiences.

Stimuli

External or internal factors that elicit a response from a living organism or a system.