• draft event budgets

Based on the information provided below, prepare the event budget

The event committee has asked you to prepare two alternative revenue statement budgets based on ticket prices of $100.00 and $200.00. They wish to determine the most feasible and profitable alternative for their organisation.

From previous experience in projects, it has been identified that a specific percentage of ticket sales revenue is spent on additional expenses, such as advertising, printing, decorating the venue and entertainment for the event. These expenses need to be included in the revenue statement budgets.

Additional expenses	% of revenue
Advertising	1%
Printing	0.25%
Room decoration	3%
Entertainment	5%
Total	9.25%

Calculate the revenue for both ticket prices

No. of tickets	Ticket price = $100.00	Ticket price = $200.00
350

Prepare alternative revenue statement budgets using the information you have accumulated so far.

	Alternative 1	% of sales	Alternative 2	% of sales
	350 tix x $100		350 tix x $200
Sales	$	%	$	%
Revenue from ticket sales
Cost of goods sold
Food cost
Beverage cost
Total cost of goods
Gross profit
Expenses
Labour costs
Venue
Stationery items / Postages
Communication
Event staff uniform
Hire audio-visual equipment
Floral arrangements
Stage and lighting hire
Food and service equipment lease
Master of ceremonies
Consultant fees
Linen hire
Advertising
Printing
Room decor
Entertainment
Total expenses
Profit/loss