Reference no: EM1380141
Prepare a spreadsheet to compute your projected total costs, total revenues, and total profits for giving seminar on cost estimating. Below are some of your assumptions:
You will charge $600 per person for a two - day class.
You estimate that 30 people will register for and attend the class, but you want to change this input.
Your fixed costs include $500 total to rent a room for both days , setup fees of $400 for registration, and $300 designing a postcard for advertising.
You will not include your any of your labor costs for this estimate, but you estimate you will spend at least 150 hours developing materials, managing the project, and giving the actual class. You would like to know what your time is worth given different scenarios.
You will order 5,000 postcards, mail 4,000 and distribute the rest to friends and colleagues.
Your variable costs include the following:
a. $5 per person for registration plus four percent of the class fee per person to handle credit card processing; assume everyone pays by credit card
b. $.40 per postcard for printing if you order 5,000 or more
c. $. 25 per postcard for mailing and postage
d. $25 per person for beverages and lunch
e. $30 per person for class handouts
Be sure to have input cells for any variables that might change, such as the cost of postage, handouts, and so on. Calculate your profits based on the following number of people who attend: 10, 20, 30, 40, 50, and 60. In addition, calculate what your time would be worth per hour based on the number of students. Try to use the Excel data table features showing the profits based on the number of students. If you are unfamiliar with data tables, just repeat the calculations for each possibility of 10, 20, 30, 40, 50, and 60 students. Print your results on one page, highlighting the profits fro each scenario and what your time is worth.
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