Karem's Sandwiches sells its signature 2-foot long sub sandwiches. These sandwiches are so good, it is the only item on the menu. In recent years,Karem's breakeven point has been 30,000 sandwiches. Annual fixed cost are $600,000 and the sandwiches have a sales price of $27.
What is the variable cost per unit of each sandwich?

Question

Karem's Sandwiches sells its signature 2-foot long sub sandwiches. These sandwiches are so good, it is the only item on the menu. In recent years,Karem's breakeven point has been 30,000 sandwiches. Annual fixed cost are $600,000 and the sandwiches have a sales price of $27. 
What is the variable cost per unit of each sandwich?

Quizplus · Accepted Answer

The Answer of Karem's Sandwiches sells its signature 2-foot long sub sandwiches. These sandwiches are so good, it is the only item on the menu. In recent years,Karem's breakeven point has been 30,000 sandwiches. Annual fixed cost are $600,000 and the sandwiches have a sales price of $27. 
What is the variable cost per unit of each sandwich?

Karem's Sandwiches Sells Its Signature 2-Foot Long Sub Sandwiches