A Cafe Specializes in Short Order Meals; And, Morning and Afternoon

question 190

Essay

A cafe specializes in short order meals; and, morning and afternoon snack breaks.It is open from 9:00 am until 4:00 pm.An office manager in a nearby high rise office building offers the owner a contract to provide her 50 employees with afternoon snack breaks for $2.00 each.Each employee would receive a drink and a snack item.The shop has an hourly capacity of 50 customers.The owner estimates that the variable costs of the afternoon breaks would be $1.20 each.Currently the afternoon service, starting at 2:00, is running at only 50 percent capacity, although the morning and noon activities are near capacity.At the present level of operations each meal/snack served is allocated a fixed cost of $0.25.Required:
a.What nonfinancial factors should be considered by the owner?
b.Given your concerns listed in part a.and quantitative analysis, should the offer be accepted? Why or why not?

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Definitions:

Inpatient Psychiatric

A specialized form of hospital care providing treatment for individuals with severe mental health conditions requiring constant monitoring.

Community Mental Health

A field of medicine that focuses on addressing and treating mental health disorders within community settings, aiming to improve access to mental health care for all individuals.

Autonomy

The right or condition of self-government, or making decisions independently.

Medication Non-Adherence

The behavior of not taking prescribed medications as directed by a healthcare provider, which can negatively affect the effectiveness of treatment.