Determine the inn break-even point in dollars

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Question - The Lake Shore Inn is trying to determine its break-even point. The inn has 50 rooms that it rents at $60 a night. Operating costs are as follows.

Salaries $7,200 per month

Utilities $1,500 per month

Depreciation $1,200 per month

Maintenance $300 per month

Maid service $8 per room

Other costs $28 per room

Instructions - Determine the inn's break-even point in (1) number of rented rooms per month and (2) dollars.

Reference no: EM131769895

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