The Children’s Museum of Millbridge is considering catering birthday parties for members as a way to generate additional revenue.
The costs associated with each party are:
Staff .............$ 90
Cake and Food .........$ 60
Decorations ...........$ 30
In addition, party favors are $ 5 per child.
1. Find the break-even price per child assuming that 12 children attend each party.
2. The Museum expects to make a profit of $ 300 on every party. Find the price per child to break even and produce the $ 300 profit on every party (again assume that 12 children attend each party).