You work in the accounting department for Spring dale Movie Theater. The owners are considering enlarging the concession area one and one-half times its current size to offer a wider variety of foods. No theater seats would be lost. The cost is estimated at $200,000. Sales figures for the past three years follow. 

INSTRUCTIONS 

1. Use a spreadsheet program to analyze the sales and planned expansion. What percent of total sales are ticket sales and concession sales each year?

2. Assuming concession sales remain at $1,480,000, what percentage increase in concession revenue is needed to pay for the renovation costs in one year?

Transcribed Image Text:

Year Year 1 Year 2 Year 3 Ticket Sales $4,800,000 5,100,000 5,400,000 Concession Sales $1,800,000 1,600,000 1,480,000