What do you mean by the break-even point

Assignment Help Financial Accounting

Reference no: EM13130225

Anus Amusement center has collected the following data for operations for the year

Total revenues $800,000
Total fixed costs $218,750
Total variable costs $450,000
Total tickets sold $50,000

Required

a. What is the average selling price for a ticket?

b. What is the average variable cost per ticket ?

c. What is the average contribution margin per ticket?

d. What is the break-even point?

e. Anu has decided that unless the operation can earn at least $43,750 in operating profits, she will close it down. What number of tickets must be sold for anus amusements to make a $43,750 operating profit for the year on ticket sales?

Reference no: EM13130225

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