Fill in the Remaining Required Flow Lines to Determine Which

question 12

Multiple Choice

Fill in the remaining required flow lines to determine which of the following facility design concepts is best illustrated in this foodservice plan? Receiving

• A) backtracking
• B) cross traffic
• C) functional flow
• D) straight-line flow

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Definitions:

Fixed Cost

Fixed costs, including rent, salaries, and insurance, stay the same no matter how much is produced or sold.

Contribution Margin

The amount remaining from sales revenue after variable costs are deducted, contributing towards covering fixed costs and earning profit.

Break Even Point

The point at which total costs and total revenue are equal, meaning the business is neither making a loss nor a profit.

Unit Contribution Margin

The amount each unit sold contributes towards covering fixed costs and generating profit, calculated as the sales price per unit minus variable cost per unit.