A Certain Location of O'Charley's Restaurant Has Annual Fixed Costs

question 28

Multiple Choice

A certain location of O'Charley's restaurant has annual fixed costs of $200,000. If an average tab at the restaurant is $60 and the variable costs per tab is $20, how many groups of customers must O'Charley's serve per year in order to break even?

• A) 2,000
• B) 5,000
• C) 10,000
• D) 3,333
• E) 2,500

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Definitions:

Pervasive Social Issue

a widespread and deeply ingrained problem within society that affects a significant portion of the population and requires collective action for resolution.

Functionalism

A social theory that views society as a complex system of interrelated parts that work together to maintain stability and social order.

Cooperative Groups

Entities formed by individuals or organizations who voluntarily collaborate to achieve common goals or undertake specific tasks together, often sharing resources and responsibilities.

Capitalist Societies

Societies organized around the principles of capitalism, where the means of production are privately owned and operated for profit.