Tuesday, December 13, 2016

Cost of Production


Whenever I think of cost of production I always think back to my roommate’s business. My roommate owns a shaved ice business and I always wondered how much went into making one snow cone. I always figured it was just the cone and the ice. But he told me it was much more than that. There is the use of the machine, the labor, flavors, and the store front cost goes into it and finally the cone and ice. This came to a surprise to me and made me understand the pricing of his product at his storefronts he has. 
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