Joe\'s Downtown Restaurant purchases domestic red wine at $9.20 per bottle. Each

Question

Joe's Downtown Restaurant purchases domestic red wine at $9.20 per bottle. Each bottle contains 3 liters, the equivalent of 101 ounces. The wine is served in 5-ounce glasses, and management allows for 1 ounce of spillage per 3-liter bottle. a. What is the average unit cost per drink? b. What is the total cost of 60 glasses of wine? c. The banquet manager is planning a function for 120 persons for next Friday evening. Each guest will be given one glass of wine. How many bottles should be ordered for the party? d. What will be the unit cost of the wine? The total cost?

Explanation / Answer

a. no of drinks per bottle = (101-1)/5 = 20 average unit cost per drink = $9.20/20 =$0.46 b. total cost of 60 glasses of wine = 60*0.46 =$27.6 c. 20 drinks made by 1 bottle 120 drinks will require = 1/20*120 = 6 bottles d. total cost of the wine = 6*9.2= $55.2

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