Reference no: EM131007776
A motel has 70 rooms it usually rents out, in the following proportions:
|
45% singles at:
|
$48.00 per night
|
|
35% doubles at:
|
$60.00 per night
|
|
20% triples at:
|
$72.00 per night
|
The motel has annual fixed costs of $345,000 and variable costs averages $15.00 per room occupied.
a. Calculate the motel's breakeven level and its occupancy percentage.
b. Calculate the occupancy percentage that will provide operating income (before tax) of $60,000 a year.
c. Calculate the occupancy percentage necessary to provide an operating income (before tax) of $60,000, if the average room rate were decreased by 15 percent.
d. Calculate the occupancy percentage necessary to provide an operating income (before tax) of $60,000, assuming the average room rate will increase by 10 percent. Variable cost per unit sold will increase to $16.20, and $30,000 per year will be spent on advertising.
|
Cost accounting system recommendation
: Your cost accounting system recommendation and why it is suitable for this company. A general description of the documents that the proposed cost accounting system requires.
|
|
Should you introduce the new product
: Your firm must decide whether or not to introduce a new product. If you introduce the new product, your rival will have to decide whether or not to clone the new product. If you don’t introduce the new product, you and your rival will earn $1 million..
|
|
Explain and illustrate with supply-demand graph
: If investors in Europe lose confidence in Turkey’s leadership and decide to pull assets out of Turkey, what will this do to the exchange rate between the Euro and the Turkish Lira? Explain and illustrate with supply-demand graph(s). Be as specific an..
|
|
What is the optimal price and associated profit
: Also, assume that the “target market” has 1 Household and 1 Graphic Designer (a simple way of representing equal proportions of each type of customer). The marginal cost of production is $0. If Adobe sells only to Graphic Designers, what is the optim..
|
|
Breakeven level and its occupancy percentage
: The motel has annual fixed costs of $345,000 and variable costs averages $15.00 per room occupied. a. Calculate the motel's breakeven level and its occupancy percentage.
|
|
Optimal expenditure on the second
: An individual purchases quantities a, b, and c of three different commodities whose prices are p, q, and r, respectively. The consumer spends m dollars, where m > 2p, and the utility function is given by. Show that the optimal expenditure on the seco..
|
|
Prepare the offender for reentry
: Can these problems be anticipated and planned for? What can the corrections system do to help prepare the offender for reentry? What can the community do to help the newly released inmate smoothly transition back into society
|
|
What is the profit maximising price and quantity produced
: A monopoly faces a demand curve (in $) for its branded product described by: Fixed costs are equal to $10. There is no other cost information. What is the profit maximising price and quantity produced?
|
|
What are the major trade policies for each country
: Compare and contrast the major trade policies of the United States with those of another country. Please include sources. What are the major trade policies for each country? Which policy in each country do you think is most important and why?
|