Denise is planning to open a take-away business in Hobart, which will sell healthy hamburgers…
Denise’s take-away business venture Denise is planning to open a take-away business in Hobart, which will sell healthy hamburgers prepared with fresh, local ingredients. These will come in two sizes: regular and large, and each order will be served with hot chips and a soft drink. The business will be open 4pm-8pm, 7 days a week, with all orders being filled and served on a drive-through basis Denise has two options: to buy an existing take-away business, or open a new one. If she goes with the first option, she envisages financing the purchase cost ($160,000) with a bank loan. The furniture and kitchen equipment will need to be replaced at 5-yearly intervals. If she goes with this first option, sales for the first quarter are expected to be: Regular Large Total Sales (unit) 18,000 16,500 34,500 The sales growth is expected to be 5% per quarter. If Denise goes with the second option, she will buy standard furniture and fittings at a cost of $25,000. She estimates that these will need to be replaced every 10 years. She also plans to purchase kitchen equipment, at $100,000, to be financed with a bank overdraft. This equipment will also need to be replaced at 10-year intervals. With this option, Denise has been advised that sales will be 20% lower than with the first option in the first year only. The business will also need a website, and advertising space in the local newspaper.
PLACE YOUR ORDER TO GET STARTEDThe post Denise is planning to open a take-away business in Hobart, which will sell healthy hamburgers… appeared first on Essay Gem.
For any questions, feedback, or comments, we have an ethical customer support team that is always waiting on the line for your inquiries.