quiz pete wants to write a business plan for petes pb&j cupcake cart. he needs to identify all expenses…

quiz pete wants to write a business plan for petes pb&j cupcake cart. he needs to identify all expenses associated with making a peanut butter and jelly cupcake for a economics of one unit. what is the most accurate way of determining his expenses? estimate the cost to buy all of the ingredients at the store, and divide that by an estimate of how many cupcakes he can make with that. go through the detailed process of making the cupcake step by step, measuring the ingredients he uses and calculating the cost per ingredient. go online and find a competitors expenses. none of the above

quiz pete wants to write a business plan for petes pb&j cupcake cart. he needs to identify all expenses associated with making a peanut butter and jelly cupcake for a economics of one unit. what is the most accurate way of determining his expenses? estimate the cost to buy all of the ingredients at the store, and divide that by an estimate of how many cupcakes he can make with that. go through the detailed process of making the cupcake step by step, measuring the ingredients he uses and calculating the cost per ingredient. go online and find a competitors expenses. none of the above

Answer

Explanation:

Step1: Analyze option 1

Estimating cost and dividing by number of cupcakes is a rough estimate, not most accurate.

Step2: Analyze option 2

Going through detailed process, measuring ingredients and calculating cost per ingredient gives a precise breakdown of expenses.

Step3: Analyze option 3

A competitor's expenses may not be relevant or accurate for Pete's specific situation.

Step4: Analyze option 4

Since option 2 is accurate, this is incorrect.

Answer:

Go through the detailed process of making the cupcake step by step, measuring the ingredients he uses and calculating the cost per ingredient.