2. Suppose that you are the manager of a studlo cafe, and you are planning to invest on a new camera and a coffee maker designed to increase the productivity of your employees and output (services) produced. Your analyst provided you the following Information: A. Complete the table below. Projected Sales and Profit Current Incremental Situation Revenues and Costs Total Revenue Php1,500,000 Php1,800.000 Variable Cost 575,000 425.000 Direct Fixed Cosis 625,000 700.000 Indirect Fixed Cosis 100,000 100.000 Profit B. Should the new camera and coffee maker be purchased? Explain your answer hased on the incromental analysis
2. Suppose that you are the manager of a studlo cafe, and you are planning to invest on a new camera and a coffee maker designed to increase the productivity of your employees and output (services) produced. Your analyst provided you the following Information: A. Complete the table below. Projected Sales and Profit Current Incremental Situation Revenues and Costs Total Revenue Php1,500,000 Php1,800.000 Variable Cost 575,000 425.000 Direct Fixed Cosis 625,000 700.000 Indirect Fixed Cosis 100,000 100.000 Profit B. Should the new camera and coffee maker be purchased? Explain your answer hased on the incromental analysis
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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