BizCafe Simulation 1

Rent is $2,000 per month and is due on the first of each month. A. True B. False

A. False

Servers work approximately 10 hours each week. A. True B. False

A. True

Approximately how many medium cups of coffee will one pound of coffee beans make? A. 12 B. 32 C. 56 D. None of these

B. 32

If your fixed costs are $1,000, your variable cost per unit is $1, and your selling price is $3 per unit, what is your breakeven number of units? A. 1,000 B. 500 C. 333 D. 2

B. 500

Deposits are made into your checking account once each week. A. True B. False

B. False

Furniture is depreciated over 5 years, so if your furniture costs $2,000, your monthly depreciation will be $400. A. True B. False

B. False

If you do not hire servers they will be hired automatically. A. True B. False

B. False

Offering 2 for 1 coupons will result in the same amount of revenues for the week as not offering coupons because you don't count the free cups. A. True B. False

B. False

If advertising on the radio costs $40 per spot and you run 5 spots per day, your weekly cost for radio advertising will be: A. $40 B. $200 C. $1,400 D. $3,000

C. $1,400

The high capacity espresso maker versus the standard maker has the potential of increasing your cups served by what percent? A. 30% B. 60% C. 100% D. 160%

D. 160%