2. The Hartford Symphony Guild is planning its annual dinner-dance. The dinner-d

Question

2. The Hartford Symphony Guild is planning its annual dinner-dance. The dinner-dance committee has assembled the following expected costs for the event: Dinner (per person) Favors and program (per person) Band Rental of ballroom Professional entertainment during intermission -$ Tickets and advertising S 2,800 S 900 1,000 S 1,300 The committee members would like to charge $35 per person for the evening's activities Required: Compute the break-even point for the dinner-dance (in terms of the number of persons who must attend). a) b) Assume that last year only 300 persons attended the dinner-dance. If the same number attended this year, what price per ticket must be charged in order to break even? Answer:

Explanation / Answer

Dear Student Thank you for using Chegg Please find below the answer and please give thumbs up   Statementshowing Computations Paticulars Amount Sales revenue per unit                    35.00 Less Variable Expenses per unit Dinner                    18.00 Favors and program                      2.00 Total Variable expense per unit                    20.00 Contribution Margin = 35 - 20                    15.00 Fixed cost Band              2,800.00 Rental of ballroom                  900.00 Professional entertainment              1,000.00 Tickets and advertising              1,300.00 Total Fixed costs              6,000.00 a) BEP in no of persons = 6000/15                  400.00 b) Contribution per unit desired = 6000/300                    20.00 Variable cost per unit                    20.00 Ticket price per unit in order to break even                    40.00

Related Questions

Navigate

• Browse (All)
• Browse 2
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.