Waterman's WaterWorld Tourist Park has collected the following data for operations for the year: Total revenues...
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Waterman's WaterWorld Tourist Park has collected the following data for operations for the year: Total revenues Total fixed costs $ 2,750,000 $ 875,000 $1,500,000 50,000 Total variable costs Total tickets sold 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? Note: Do not round intermediate calculations. d. What is the break-even point? Note: Do not round intermediate calculations. e. Waterman's management has decided that unless the operation can earn at least $200,000 in operating profits, they will close it down. What number of tickets must be sold for Waterman's to make a $200,000 operating profit for the year on ticket sales? Note: Do not round intermediate calculations. Waterman's WaterWorld Tourist Park has collected the following data for operations for the year: Total revenues Total fixed costs $ 2,750,000 $ 875,000 $1,500,000 50,000 Total variable costs Total tickets sold 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? Note: Do not round intermediate calculations. d. What is the break-even point? Note: Do not round intermediate calculations. e. Waterman's management has decided that unless the operation can earn at least $200,000 in operating profits, they will close it down. What number of tickets must be sold for Waterman's to make a $200,000 operating profit for the year on ticket sales? Note: Do not round intermediate calculations.
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aAverage selling price per ticket Total revenue Total tickets sold 2750000 500... View the full answer
Related Book For
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher
Posted Date:
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