Busi. 406 Mama Rossi's

Busi. 406 Mama Rossi's - $905,565.00 Alternative 3...

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Alternative 1 Alternative 2 Capacity (# pizzas) 144 300 Sales (pizzas) $1,800.00 $3,750.00 CGS (pizzas) $720.00 $1,500.00 Contribution margin (pizzas) $1,080.00 $2,250.00 Sales (beverages) $216.00 $450.00 CGS (bev.) $64.80 $135.00 Contribution margin (bev.) $151.20 $315.00 Total contribution $1,231.20 $2,565.00 Cost delivery personnel $- $36.00 Cost preparation personnel $- $48.00 Daily EBIT $1,231.20 $2,481.00 Days in year 365 365 Annual EBIT $449,388.00 $905,565.00 Cost rental exp. $- $- Cost of moving to new store $- $- Cost of delivery car $- $11,000.00 Cost of pizza oven $- $20,000.00 Year 1 EBIT (loss) $449,388.00 $874,565.00 Year 2 EBIT (loss) $449,388.00 $905,565.00 Year 3 EBIT (loss) $449,388.00 $905,565.00 Year 4 EBIT (loss) $449,388.00 $905,565.00 Year 5 EBIT (loss) $449,388.00
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Unformatted text preview: $905,565.00 Alternative 3 (conservative) Alternative 3 (medium) Alternative 3 (high) 320 352 416 $4,000.00 $4,400.00 $5,200.00 $1,600.00 $1,760.00 $2,080.00 $2,400.00 $2,640.00 $3,120.00 $480.00 $528.00 $624.00 $144.00 $158.40 $187.20 $336.00 $369.60 $436.80 $2,736.00 $3,009.60 $3,556.80 $36.00 $36.00 $36.00 $48.00 $48.00 $48.00 $2,652.00 $2,925.60 $3,472.80 365 365 365 $967,980.00 $1,067,844.00 $1,267,572.00 $1,600.00 $1,600.00 $1,600.00 $16,000.00 $16,000.00 $16,000.00 $11,000.00 $11,000.00 $11,000.00 $20,000.00 $20,000.00 $20,000.00 $920,980.00 $1,020,844.00 $1,220,572.00 $966,380.00 $1,066,244.00 $1,265,972.00 $966,380.00 $1,066,244.00 $1,265,972.00 $966,380.00 $1,066,244.00 $1,265,972.00 $966,380.00 $1,066,244.00 $1,265,972.00...
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This note was uploaded on 06/07/2011 for the course BUSI 406 taught by Professor Perreault during the Spring '11 term at UNC.

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Busi. 406 Mama Rossi's - $905,565.00 Alternative 3...

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