Producing homemade muesli bars with locally sourced products

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Reference no: EM133576549

Question

You have been contacted by the owner of a new small business that has been operating for a year now. They have been working on their own, producing homemade muesli bars with locally sourced products. At this stage they offer three types of muesli bars: honey-apricot, triple chocolate chip and raspberry-white chocolate. On average they produce 150 bars per day, 5 days a week, 50 weeks of the year, leading to a grand total of 37,500 bars per year. They sell all bars at the same price of $5.5 per unit. The owner has hired you as financial advisor to help them grow their business during the following financial year (2020 - 2021). Their objective is to increase production by 50%, hire a new part-time employee to help them produce more bars as well as hire a marketing agency to promote and advertise their business. Finally, they would like to be able to pay themselves more.

Reference no: EM133576549

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