What is the unit contribution margin per room

Assignment Help Managerial Accounting
Reference no: EM132825259

Question - The Gibco Inn is trying to determine its break-even point.

The inn has 74 rooms available that are rented at $85 a night. Operating costs are as follows:Salaries $14,000/month

Utilities $2,200/month

Depreciation $1,000/month

Maintenance $550/month

Housekeeping Service: $22 per room

Other Costs: $4 per room

a) What is the unit contribution margin per room?

b) Determine the break-even point in number of

(1) rented rooms /month

(2) sales dollars/month

Reference no: EM132825259

Questions Cloud

How sound science essential for sustainable global future : Ecological sustainability means that we conserve the productivity of the waters, soils, and the ecosystem, reducing our impact on the natural environment.
Post to T accounts the accounts receivable : Journalize the above transactions. Open the customer's and supplier's cards. Post to T accounts the accounts receivable and accounts payable entries
Compute the cash flow invested in net working capital : Compute the cash flow invested in net working capital at Hillman Corporation during 2017. Hillman Corporation reported current assets of $3,495,055
What was leia retained earnings balance : Based on these two assumptions AND the impact of the entries you made for the property dividend, what was Leia's retained earnings balance as of 03-31-16?
What is the unit contribution margin per room : The inn has 74 rooms available that are rented at $85 a night. Operating costs are as follows:Salaries $14,000/month. What is the unit contribution margin
Prepare the adjusting journal entries for grant graphics : Prepare the adjusting journal entries based on the following information. (Credit account titles are automatically indented when amount is entered.)
Which is the worlds largest radio telescope : 1. Which is the Nebula which is considered to be the remnant of a Super Nova explosion?
What are the decision variables for given problem : Using Decision variable indentified in part (a) formulate the objective function for this problem. is the qty of interest to me minimised or maximised
Human resource management association in the world : 1) What organization is the largest human resource management association in the world? And how does it meet the needs of HR professionals?

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

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!

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