Your firm designs training materials for computer training classes, and you have just receive request to bid on a contract to produce a complete set of training manuals for an 8-session From previous experience, you know that your firm follows an 85% learning rate. For this contract, it appears that the effort will be substantial, running 50 hours for the first session firm bills at the rate of $100/hour and the overhead is expected to run a fixed $600 per session. The customer will pay you a flat fixed rate per session (Per Session Price.) If your profit is 20%, what will be the Total Price, the Per Session Price, and at what session will you even? What is the Total Price? This is what you would charge the customer so that you have your profit markup of 20% over all of your costs. To calculate this, first figure your cost per each session, add them up, and then add your profit. What is the Per Session Price? This is the revenue that the customer pays you each you complete a session. It is calculated by dividing the Total Price by the number sessions. What is the Break Even Point? At the beginning, your cost per session is more than revenue per session. Gradually, your cumulative revenue matches the cumulative and eventually exceeds it so that you can end up with the desired profit. The break point is the session at which, for the first time, your revenue exceeds your cost. Your firm designs training materials for computer training classes, and you have just receive request to bid on a contract to produce a complete set of training manuals for an 8-session From previous experience, you know that your firm follows an 85% learning rate. For this contract, it appears that the effort will be substantial, running 50 hours for the first session firm bills at the rate of $100/hour and the overhead is expected to run a fixed $600 per session. The customer will pay you a flat fixed rate per session (Per Session Price.) If your profit is 20%, what will be the Total Price, the Per Session Price, and at what session will you even? What is the Total Price? This is what you would charge the customer so that you have your profit markup of 20% over all of your costs. To calculate this, first figure your cost per each session, add them up, and then add your profit. What is the Per Session Price? This is the revenue that the customer pays you each you complete a session. It is calculated by dividing the Total Price by the number sessions. What is the Break Even Point? At the beginning, your cost per session is more than revenue per session. Gradually, your cumulative revenue matches the cumulative and eventually exceeds it so that you can end up with the desired profit. The break point is the session at which, for the first time, your revenue exceeds your cost