cul Exercise 3.2 Using the Excel spreadsheet: other costs remain the same. 1. Assume that variable costs are not controlled and that budgeted costs. of sales for food and beverage increase to $600,000 and total sales are as budgeted ($1,665,472.20). Calculate profit for Barnaby's Hideaway. All 2. Calculate the new variable rate and new contribution rate, assuming 3. Calculate the break-even point for Barnaby's Hideaway using the new contribution rate. 4. Using the new contribution rate, calculate the sales level necessary for Barnaby's Hideaway to earn the budgeted profit of $166,794.43. 5. Assume that the new contribution margin falls to $12.60. Calculate the number of customers necessary to break even. the same variable salaries and employee benefits. IMM 56%92:36 PM Exercise 3.2 excel - Saved File Home Insert Praw Formulas Pata Review View AutoSum Recently Used O e calculate Now fx = D4 /1665472.2 4 A B D E F G H 1 $ 600,000.00 $ 519,451.47 $ 80,548.53 $ 166,794.43 $ 80,548.53 $ 86,245.90 $600,000.00 $247,441.58 $61,860.40 $909,301.98 Exercise 3.2 2 3 New Budgeted Profit 4 New Food & Beverage Cost 5 Old Food & Beverage Cost 6 Reduction in Profit 7 8 Budgeted Profit 9 Reduction in Profit 10 New Budgeted Profit 11 12 New Variable Rate 13 Cost of Food and Beverage 14 Variable Labor Cost 15 Variable Employee Benefits 16 Total Variable Costs 17 18 New Variable Rate 19 VR= VC 20 S 21 22 VR= 23 24 25 VR= 26 27 New Contribution Rate 28 29 CR = 1 - VR 30 31 CR = 32 33 CR = 0.36 Sheet Sheetz Sheets + IMM 9.56% 22:38 PM Exercise 3.2 excel - Saved File Home Insert Praw Formulas Pata Review View AutoSum Recently Used O e calculate Now fx = D4 /1665472.2 A B C D E F I G New Break Even BE = FC + P CR BE = BE 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 Sales Level Necessary to Earn a Profit of $166,794.43 S = FC + P CR S = S = S = Number of Customers Necessary to Break Even SU = 54 55 56 57 58 59 60 61 62 63 64 65 66 67 FC Average Contribution Margin + Sheet1 Sheetz Sheets