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jonny [76]
4 years ago
15

What is the food service term for the amount of money remaining from a sale after subtracting the sold itemâ s cost from its sel

ling price? Check average Food cost percentage Contribution margin Cost of food sold
Business
1 answer:
fgiga [73]4 years ago
6 0

Answer:

Contributing margin.

Explanation:

Contributing margin is calculated by deducting the cost of producing a food item from its selling price. This represents the portuin of sales revenue that is not used up by cost.

It shows the profit a business eventually makes after considering its costs incurred.

This is an important consideration for businesses because it shows if a business venture is profitable and worth continuing. When the contributing margin is negative, it means that the business is running at a loss.

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Answer:

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3 years ago
Ivanhoe Company purchased a new machine on October 1, 2017, at a cost of $77,980. The company estimated that the machine has a s
Marysya12 [62]

Answer:

Depreciation for

2017 = $2,540

2018 = $10,160

Explanation:

Provided, Total cost of the machine = $77,980

Estimated salvage value = $6,860

Therefore, value to be depreciated = $77,980 - $6,860 = $71,120

Total life of asset = 7 years

Depreciation for the year 2017 = October to December = 3 months

\frac{71,120}{7} \times \frac{3}{12} = $2,540

Depreciation for the year 2018 = \frac{71,120}{7} = $10,160

Under straight line method depreciation is fixed for each year, but in the given case in 2017 the asset is used only for 3 months, thus depreciation will be charged for 3 months only.

Final Answer

Depreciation for

2017 = $2,540

2018 = $10,160

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