HW FINC 5880

H.w. FINC 5880
1- Emily’s Gelato Shop LLC sells her product for 2.50 per scoop plus tax. The variable costs (ice cream, cones, napkins, spoons) are $1.00 per scoop. She has monthly overhead (operating) expenses of $3,000, including $500 of depreciation. Sales taxes are 7% and her average income tax rate is 20%. Calculate the following:
a. Selling price per scoop including tax: $ 2.675
b. Gross Margin per scoop: $ 1.5
c. Gross margin: 60%
d. Breakeven monthly sales volume (#of scoops): 2000
e. Monthly net profit (income) if she sells 4,000 scoops: 2400
f. Sales taxes payable if she sells 4,000 scoops: $700
g. Gross Margin per scoop if her unit...