Hillary Corporation Has Its Own Cafeteria with the Following Annual

question 75

Multiple Choice

Hillary Corporation has its own cafeteria with the following annual costs: $$\begin{array} { l r } \text { Food } & \$ 200,000 \\\text { Labour } & 150,000 \\\text { Overhead } & \underline { 220,000 } \\\quad \text { Total } & \underline { \$ 575,000 }\end{array}$$ The overhead is 40% fixed. Of the fixed overhead, $50,000 is the salary of the cafeteria supervisor. The remainder of the fixed overhead has been allocated from total company overhead. Assuming the cafeteria supervisor will remain and that Hillary will continue to pay her salary, the maximum cost Hillary is willing to pay an outside firm to replace the cafeteria services is:

• A) $575,000
• B) $350,000
• C) $438,000
• D) $482,000

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Definitions:

Ideal Self-concept

Ideal self-concept pertains to how individuals would like to see themselves, embodying their aspirations and values.

Persona

A detailed profile of a hypothetical or fictional character representing a key segment of a product’s target audience, used in marketing and product design to empathize with customer needs.

Abstract Self-concept

An individual's perception about themselves that is not tied to physical or material reality but consists of beliefs, feelings, and how they see their personality traits.

Deconstructed Self-concept

Refers to the process of breaking down one's self-identity into various components to better understand the influences and factors that shape their sense of self.