User Account

All Pages

Calculate the contribution margin ratio for both plans

Assignment Help Accounting Basics
Reference no: EM132113011

Question - Mr Zoo is planning to set up a mini Zoo in Howick.

The following relates to different pricing plans of visiting the zoo and costs of running the zoo.

Pricing Plan 1 - $30 per person (a special pack will be included)

Pricing Plan 2 - $25 per visitor (the special pack not to be included)

Variable Costs per visitor

Special Pack - 8%

Zoo Consumables - $7

Zoo Expenses - $2

Total Fixed Costs - $200,000

REQUIRED: Study the information above then answer the following questions.

Using the CVP formula, calculate the number of units (and its KINA amount) for achieving

1) Breakeven

2) A profit of $30,000 for both plans.

3) Calculate the Contribution Margin ratio for both plans.

Reference no: EM132113011

Questions Cloud

Production manager of zychol chemicals : Bob Richards, the production manager of Zychol Chemicals, in Houston, Texas, is preparing his quarterly report, which is to include a productivity analysis for
Explain why you chose such a certification : Suppose you have graduated from Strayer University with your degree and you have been working in the management field for at least five (5) years.
Conduct a strategy audit for a selected company : Conduct a strategy audit for a selected company. Begin this assignment by selecting an organization for your course project activities.
Summative discussion board : Review and reflect on the knowledge you have gained from this course. Based on your review and reflection, write at least 3 paragraphs on the following:
Calculate the contribution margin ratio for both plans : Using the CVP formula, calculate the number of units (and its KINA amount) for achieving - Calculate the Contribution Margin ratio for both plans
What are the traits of social value organizations : What are the traits of social value organizations and how do they differ from other types of organizations?
What approach might a coach take that would be healthy : Pressure from coaches could also be a reason the athletes to sacrifice their physical health for them to lose weight as the coaches could be very critical.
Explain both the person and the organization role : In an organization you belong to, identify someone who you perceive as "different" from you. Because of their "difference," identify their advantages.
What are the acceptable inventory valuation methods : What are the acceptable inventory valuation methods under U.S. GAAP? How does each affect the valuation of inventory and cost of goods sold

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd