BM2209

Name Ashley Esquivel Section BSBA302 Date 10/24/2022

ACTIVITY
The owner of Big Burger Restaurant wants to determine the unit cost associated with their 10,000 sales of
burgers for January 201A. The following variable expenses per burger are available:

Burger patty P5.50

Bread 2.00
Ketchup 0.50
Lettuce 6.00
Mayonnaise 0.50
Total variable cost per unit P14.50 per burger

The fixed expenses of Big Burger Restaurant are the following:

Labor P5,500
Rent 2,500
Insurance 500
Advertising 2,000
Utilities 4,800
Total fixed cost P15,300

Requirement: (10 points)

A. Compute the unit cost per burger.

𝑈𝑛𝑖𝑡 𝐶𝑜𝑠𝑡 = 𝑇𝑜𝑡𝑎𝑙 𝑉𝐶 𝑝𝑒𝑟 𝑢𝑛𝑖𝑡 + 𝑇𝑜𝑡𝑎𝑙 𝐹𝐶 = P14.50 + P15,300

𝑇𝑜𝑡𝑎𝑙 𝑁𝑢𝑚𝑏𝑒𝑟 𝑜𝑓 𝑆𝑎𝑙𝑒𝑠 10,000

= P14.50 + P1.53
= P16.03

Rubric for grading:

CRITERIA POINTS
Complete solution with the correct answer 10
The last two (2) major steps of the solution are
7
incorrect
Half of the solution is correct 5
The first two (2) major steps of the solution are correct 3
The first major step of the solution is correct 1
05 Activity 1 *Property of STI
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