A small inn has annual fixed costs of $88,000, variable costs of 68% of sales revenue, and

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A small inn has annual fixed costs of $88,000, variable costs of 68% of sales revenue, and a tax rate of 30%. The owner wants an after-tax net income of $33,600. What sales revenue must be achieved to provide

$33,600 net income after tax? Prepare a contribution margin income statement to confirm the calculated required sales revenue.

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Hospitality Management Accounting

ISBN: 9780471687894

9th Edition

Authors: Martin G Jagels, Catherine E Ralston

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