A certain location of O'Bannon's restaurant has annual fixed costs of $200,000. If an average tab at the restaurant is $60 and the variable costs per tab is $20, how many groups of customers must O'Bannon's serve per year in order to break even?
A)2,000
B)5,000
C)10,000
D)3,333
E)2,500

Question

Quizplus · Accepted Answer

The Answer of A certain location of O'Bannon's restaurant has annual fixed costs of $200,000. If an average tab at the restaurant is $60 and the variable costs per tab is $20, how many groups of customers must O'Bannon's serve per year in order to break even?
A)2,000
B)5,000
C)10,000
D)3,333
E)2,500

A Certain Location of O'Bannon's Restaurant Has Annual Fixed Costs