Q2- ABC Inn is trying to determine its break-even point. The inn has 75 rooms that...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Q2- ABC Inn is trying to determine its break-even point. The inn has 75 rooms that it rents at $100.00 a night. Operating costs are as follows. Salaries Utilities Depreciation Maintenance Maid service Other costs $5,000 per month per month 1,000 1,000 per month 100 per month 10 per room 25 per room Instructions: (1) Determine the inn's break-even point in number of rented rooms per month. (2) Determine the inn's break-even point in dollars. Q2- ABC Inn is trying to determine its break-even point. The inn has 75 rooms that it rents at $100.00 a night. Operating costs are as follows. Salaries Utilities Depreciation Maintenance Maid service Other costs $5,000 per month per month 1,000 1,000 per month 100 per month 10 per room 25 per room Instructions: (1) Determine the inn's break-even point in number of rented rooms per month. (2) Determine the inn's break-even point in dollars.
Expert Answer:
Answer rating: 100% (QA)
1 Deter mine the inn s break even point in number of rented rooms per month ANS ... View the full answer
Related Book For
Accounting Principles
ISBN: 978-1119048503
7th Canadian Edition Volume 1
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Warren, Lori Novak
Posted Date:
Students also viewed these accounting questions
-
Current Attempt in Progress Express the matrix and its inverse as products of elementary matrices. 10-5 A = 80 00 7 1 The matrix A can be written as: 105 1 010 01 0 001 0 -7 1 001 105 100 100 010 001...
-
2. Investment proposals A and B have the following cash flows. End of Years 2 3000 6000 Proposal A (Rs) B (Rs) 0 -10 000 -10000 1 3000 6000 3 7000 3000 4 6000 3000 Compare the Present worth of A with...
-
Use the information below to derive the journal entries and complete the requirements 1. Supplies on hand at October 31 total $500. 2. Expired insurance for the month is $120. 3. Depreciation for the...
-
Does the fact that the strategic petroleum reserve has never been used to offset shortfalls caused by an embargo mean that the money spent in creating the reserve has been wasted? Why or why not?
-
The clarity of Lake Tahoe in California is measured by the depth at which a white disk with diameter 10 inches re- mains visible when lowered beneath the waters surface. The clarities of Lake Tahoe...
-
An electrical cable, experiencing a uniform volumetric generation q, is half buried in an insulating material while the upper surface is exposed to a convection processes (T, h). (a) Derive the...
-
Show that the reliability function associated with the Weibull failure-time distribution is given by \[R(t)=e^{-\alpha t^{\beta}}\]
-
Van Gogh Frame Company prepared the following sales budget for the current year: At the end of December 2010, the following unit sales data were reported for the year: For the year ending December...
-
Solve the differential equation. dy =6x36-y, -6
-
Which of the following is a false statement about Health Savings Accounts (HSAs)? a. Taxpayers who contribute to an HSA must carry qualifying high-deductible health insurance. b. HSAs are available...
-
A student has 4.60 g of zinc powder, 1.35 L of a 3.20 M calcium nitrate solution, and 1.70 L of a 3.30 M lead(II) nitrate solution. Using the activity series, which of these two solutions will react...
-
On June 30, 2021, Blair Industries had outstanding $82 million of 8% convertible bonds that mature on June 30, 2022. Interest is payable each year on June 30 and December 31. The bonds are...
-
Assume that Griffin Inc. purchases a customer list for $ 4 0 0 , 0 0 0 . Legal costs to complete the transaction cost $ 1 0 , 0 0 0 and the list is assumed to have a useful life of 1 0 years. At the...
-
A currency trader in Hong Kong currently holds 100,000 New Zealand Dollars (NZD). To hedge the risk, the trader wants to use futures, but futures on New Zealand Dollars is not available. Instead, the...
-
Find the loan principal. Rate Time (Days) Interest Principal 10% 200 $10.70 ?
-
how do the structural characteristics of the alveolar-capillary membrane facilitate gas exchange, and what factors influence the efficiency of oxygen diffusion and carbon dioxide transport in the...
-
Consider the following cash flow, find the IRR, using 6% financing rate and 12% investment rate. Year O Cash Flow -100 1 240 2 -143 Submit your answer in decimal form. EX: Submit 0.05 if the answer...
-
As long as we can't lose any money, we have a risk-free investment." Discuss this comment. Q2: Both investing and gambling can be defined as "undertaking risk in order to earn a profit." Explain how...
-
Burke Bros. began operations on January 1, 2017. Its fiscal year end is December 31 and it prepares financial statements and adjusts its accounts annually. Selected transactions from 2017 follow: 1....
-
The following are some transactions of Surendal Company for 2017. Surendal Company uses straight-line depreciation and has a December 31 year end. Apr. 1 Retired a piece of equipment that was...
-
Describe what information an inventory turnover ratio can provide about a company?
-
Which of Lees junior analysts three statements is correct? A. Statement 1 B. Statement 2 C. Statement 3 Elaine Lee is an analyst at an investment bank covering the energy sector. She and her junior...
-
Titian faces long-term risk from ____ due to potential regulatory changes in the developing economies. Theresa Blass manages the Toptier Balanced Fund (the Fund) and recently hired John Yorkton, a...
-
Which of the statements made by Yorkton on ESG factors in investment analysis is correct? A. Statement 1 B. Statement 2 C. Statement 3 Theresa Blass manages the Toptier Balanced Fund (the Fund) and...
Study smarter with the SolutionInn App