Business 9609 · AS & A Level · Location and scale

Location and scale — practice question

(a)

Refer to Table 1. Calculate, for location Y, the:

  • monthly break-even customer count [3]
  • margin of safety for expected average monthly demand [2]
  • profit per month at the expected average monthly demand [3]
(b)[12]

Refer to your results from 2(a) and other information. Recommend to Leff which location to select for the new restaurant.

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