Calculate total fixed costs


Problem: A Fish Taco restaurant is just opening. It wants to sell a Grilled Fish Taco platter for $15. The cost of ingredients includes beans, rice, tortilla, fresh fish, cabbage, and a secret sauce. The total cost of these ingredients is $6.50. The restaurant pays monthly rent of $5,000; $500/mos for insurance, and has set aside $2000 for monthly marketing and promotions. Calculate the following: QUESTION a. Total Fixed Costs b. Total Variable Costs c. Contribution Margin d. How many Fish Taco platters does it need to sell to breakeven? Show your work.

 

 

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Marketing Management: Calculate total fixed costs
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