Scenario 20.1 Use the Following to Answer the Questions

question 127

Multiple Choice

Scenario 20.1
Use the following to answer the questions.
Concession Supply sells hotdogs,buns,and nacho ingredients to several major league ballparks across the country.Currently,Concession Supply has the following pricing information for one case of hotdogs sold at Wrigley Field: Total fixed costs = $1,200,Selling price = $16,and Variable costs = $6.
-Refer to Scenario 20.1.If Concession Supply wanted to make a profit of $800 on each case,it would need to sell ____ cases.

• A)150
• B)300
• C)100
• D)75
• E)200

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Definitions:

Fully Informed

A state where individuals have all the necessary information to make well-informed decisions without missing any relevant details.

Making Decisions

The process of selecting a course of action from multiple alternatives, typically involving judgment or reasoning.

Marginal Value

The additional benefit obtained from consuming or producing one more unit of a good or service.

Buffet

A serving system where food is placed in a public area, allowing diners to serve themselves.