Question

what are start up costs of coffee roaster business? Explain with numeric values of cost?

what are start up costs of coffee roaster business? Explain with numeric values of cost?

Homework Answers

Answer #1

The costs involved here are the operating cost. Firstly, one has to puchase a roaster, invest in good packaging, equipment for packaging and most importantly selecting the right green coffee.

Coffee roaster can cost upto $ 10000 or more, packaging supplies some sort of box and labels could cost few cents, packaging equipment $ 100 to $ 300 or more, coffee grinder costing $ 500 to $ 1000,green coffee costing $ 3 to $ 4 per pound, but here price will be higher since quantity will be higher (like 50 pounds or more), employees wages, shipping and delivering cost.

Startup cost can also be reduced if business owners " contract roast", where they can pay rent for availing roasting facility, and get better and established facilities. Or owners can start with low priced equipments at first.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
For federal tax purposes, how are start-up costs treated for a business? Capitalized or expensed
For federal tax purposes, how are start-up costs treated for a business? Capitalized or expensed
In order to start a coffee business, the Manager took a 300K loan from the bank....
In order to start a coffee business, the Manager took a 300K loan from the bank. He/she will have to pay 10K monthly for three years. a-Calculate the effective interest rate (per year). SOLVE BY HAND NOT SPREADSHEET b-If the coffee business makes a Revenue=19K/month and has an operational cost of 12K/Month, Calculate the PW if the study period is 5 years and the MARR is equal to 1.5% per month. Solve by either Spreadsheet or Hand, Please Specify in...
DuPree Coffee​ Roasters, Inc., wishes to expand and modernize its facilities. The installed cost of a...
DuPree Coffee​ Roasters, Inc., wishes to expand and modernize its facilities. The installed cost of a proposed​ computer-controlled automatic-feed roaster will be $ 139,000. The firm has a chance to sell its 5​-year-old roaster for $ 34,600. The existing roaster originally cost $ 60,100 and was being depreciated using MACRS and a​ 7-year recovery period​. DuPree is subject to a 40 % tax rate. a. What is the book value of the existing​ roaster? b. Calculate the​ after-tax proceeds of...
Owen owns a business making coffee mugs. He is currently trying to figure out his cost...
Owen owns a business making coffee mugs. He is currently trying to figure out his cost structure for the month. Each month, he has to pay $1,000 for rent and machinery. For every mug he produces, it costs him $20 in material and $10 in wages. (a) Which costs are fixed? Which costs are variable? Explain. (b) What is the total cost function? (c) Derive the average total cost, average variable cost, and average fixed cost functions.
Solve this question...show your work and how you figured it out A new start-up business will...
Solve this question...show your work and how you figured it out A new start-up business will have fixed costs of $750,000 per year. It plans on selling one product that will have a variable cost of $20 per unit. What is the product’s selling price to break even?
avier Corporation begins business on March 1, 2019. The corporation incurs start-up expenditures of $38,000. a....
avier Corporation begins business on March 1, 2019. The corporation incurs start-up expenditures of $38,000. a. If Xavier elects amortization under § 195, the total start-up expenditures that Xavier may deduct in 2019 is $ ??? . b. Assume the same facts except the start-up costs totaled $52,000. The total start-up expenditures that Xavier may deduct in 2019 is $???
what are strengths for new coffee business from customers point of view? Explain your answer in...
what are strengths for new coffee business from customers point of view? Explain your answer in more than 100 words
You are considering opening up a coffee shop.  It will be a straightforward place that sells various...
You are considering opening up a coffee shop.  It will be a straightforward place that sells various brews of coffee.  But the first thing you want to understand is what the projection of net income will be under different scenarios. To do the upfront analysis you have accumulated data on all the costs related to running a coffee shop.  These costs and sales revenue, noted below, represent all the costs you can think of based on your vision of the coffee shop. You...
Why business plan is important to start a new business and what would be the prerequisites...
Why business plan is important to start a new business and what would be the prerequisites to write up an ideal business plan
Create a balance sheet of 2 years project for fast food chain start-up business, select approximate...
Create a balance sheet of 2 years project for fast food chain start-up business, select approximate values, if the investor made investment of 1 million dollars  
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT