Assume you are planning a spring break ski trip to Colorado….

Assume you are planning a spring break ski trip to Colorado. You are preparing a budget of your costs. You are staying at a lodge that has a special where the lodge charges you $25 for the first 30 ski lift rides and an additional charge of $5 for each ride in excess of 30. You believe you will ride the ski lift 40 times during the week, so you budget $75. The ski lift cost is an example of a

Crane’s Bakery sells strawberry cakes for $15 each. Last mon…

Crane’s Bakery sells strawberry cakes for $15 each. Last month Brandi sold 1420 cakes. Variable costs were $10 per cake and fixed costs totaled $3780. This month, Crane has decided to spend $1260 to sponsor a team for a Relay for Life golf tournament. She believes that the additional advertising from the sponsorship will generate 10% more sales than last month. What will be this month’s operating income?