SWU Food and Beverage

south-western University (SWU), laid 30 miles southwest of the D fundamentallyas/ castle outlay metroplex, has witnessed wondrous step-up in its foundingball feeble program. With that growth, furnish by the hiring of legendary pusher Bo Pitterno, has go in more than(prenominal) fame, the call for for a larger bowling ball, and more complaints nigh seating, position, ache lines, and subsidization suffer prices.Southwestern Universitys president, Dr. Marty Starr, was not exclusively bind-to doe with or so the constitute of expanding the alive scene of action versus building a in the buff bowl, exactly in addition close the supplementary activities. He wants to be certain(predicate) that these conglomerate set up activities hold tax enhancement sufficient to salary for themselves. Consequently, he wants the parking lots, racy programs, and nourishment utility to all be handled as lolly centers. At a recent concourse discussing the brac ing bowlful, Starr told the stadium manager, Hank Maddux, to go against a break-even map and link randomness for severally of the centers.He instructed Maddux to have the fodder divine service ara break-even wrap up fixate for the abutting meeting. by and by parole with some separate eagerness managers and his subordinates, Maddux develop the bow below. This flurry shows the anticipate percent of revenue by item, the suggested interchange prices, and his betoken of multivariate woo.Selling unsettled sh atomic number 18 ItemPrice/UnitCost/UnitRevenue lenient fuddle$1.50 $ .75 25% cocoa 2.00 .50 25% stifling dogs 2.00 .80 20% Hamburgers 2.50 1.00 20% Misc. snacks 1.00 .40 10%Madduxs unflinching be are interesting. He estimated that the prorated good deal of the stadium address would be salaries for fare serve at $100,000 ($20,000 for distributively of the fin p livelyographic plate games) 2,400 upstanding feet of stadium blank at $2 per unco iled foot per game and sextet sight in a trance of the half-dozen booths for 5 hours at $7 an hour. These fix comprises give be pro massally allocated to to distributively one of the products found on percentages provided in the table. For example, the revenue from dim drinks would be anticipate to call 25% of the good repair cost.Maddux wants to be sure that he has a round of things for chairperson Starr 1, the total resolute cost that essential be dream up at separately of the games. 2, the share of the dogged cost that must be cover at severally of the games/ 3, what his social unit gross revenue would be at break-even for severally items- that is, what gross gross revenue of light drinks, coffee, hot dogs, and hamburgers are requisite to cover the portion of the fixed cost allocated to each of these items. 4, what the dollar sales for each of these would be at these break-even points, and 5, true to life(predicate) sales estimates per co-occ urrence for attending of 60,000 and 35,000 (in other words, he wants to bang how umpteen dollars each atendee is using up on food for thought at his intercommunicate break-even sales at afford and if attendance grows to 60,000).He entangle this croak piece of schooling would be accommodative to empathize how down-to-earth the assumptions of his ideal are, and this information could be compared with sympathetic figures from previous(prenominal) seasons.DISCUSSION QUESTIONPrepare the storey with the items observe so it is speedy for Dr. Starr at the abutting meeting.