the oven, the cost to make one cake wakery needs to rent a special oven,...
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the oven, the cost to make one cake wakery needs to rent a special oven, costing $ month. Not including direct labor. No other bakery in the area is currently creating including direct materials, variable utility costs, and that there is a market for them. The intern, however, is not these cakes, so the bakery manager feels confident calculates the following monthly profit projection, based on anfident with her CVP skills. Still, she tries. She month at a selling price of $ each: Required a What aspects of the intern's work, if any, did she do correctly? b What aspects of her projection are incorrect, if any? If there are any errors, please explain and correct them in order to show an accurate projection. c The intern presented her corrected projection from part b to the manager of the bakery. Given this new information, does it look like this cake would be a good addition to the bakery? What additional considerations should the manager make before moving ahead with this product addition?
the oven, the cost to make one cake wakery needs to rent a special oven, costing $ month. Not including direct labor. No other bakery in the area is currently creating including direct materials, variable utility costs, and that there is a market for them. The intern, however, is not these cakes, so the bakery manager feels confident calculates the following monthly profit projection, based on anfident with her CVP skills. Still, she tries. She month at a selling price of $ each:
Required
a What aspects of the intern's work, if any, did she do correctly?
b What aspects of her projection are incorrect, if any? If there are any errors, please explain and correct them in order to show an accurate projection.
c The intern presented her corrected projection from part b to the manager of the bakery. Given this new information, does it look like this cake would be a good addition to the bakery? What additional considerations should the manager make before moving ahead with this product addition?
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