Business, 24.12.2019 17:31 myraa0132

Rachelle is the owner of a full-service car wash. for the month of december she paid $2,000 in rent, $700 in utilities, $2,950 in salaries, and $50 on advertising. a full service car wash costs $10.50. unit variable costs per car wash are $2.50. how many full-service car washes does rachelle need to sell to break-even each month?

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Answer from: Geo777

Total Fixed costs: $

Rent 2,000

Utilities 700

Salaries 2,950

Advertising 50

Total fixed cost 5,700

Contribution per car = Selling price - Unit variable cost

= $10.50 - $2.50

= $8.00 per car

Break-even point in full-service car

= Total fixed cost

Contribution per car

= $5,700

$8.00

= 712.5 = 713 cars

Explanation:

Break-even point in full-service car equals total fixed cost divided by contribution per car. Contribution per car is selling price minus variable cost per car.

Answer from: Quest

idk sorry

explanation:

Answer from: Quest

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