The Palmer Acres Inn is trying to determine its break-even point during its off-peak season. The inn has 50 rooms that it rents at $60 a night. Operating costs are as follows.

Salaries ...........$5,900 per month

Utilities ...........$1,100 per month

Depreciation .........$1,000 per month

Maintenance .........$100 per month

Maid service .........$14 per room

Other costs ...........$28 per room

Instructions

Determine the inn’s break-even point in

(a) Number of rented rooms per month and

(b) Dollars.