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A traveling production of The Little Mermaid performs each year. The average show sells 800 ickets at $40 a ticket. There are 110 shows each

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A traveling production of The Little Mermaid performs each year. The average show sells 800 ickets at $40 a ticket. There are 110 shows each year. The show has a cast of 70, each earning an average of 5320 per show. The cast is paid only after each show. The other variable expense is program printing costs of 39 per quest. Annual fored expenses total 576,800 Read the equiremos Requirement 1. Compute revenue and variable expenses for each show. The revenue for each show is $ 32,000 The variable expenses for each show are $ 29,600 Requirement 2. Use the income statement equation approach to compute the number of shows needed annually to break even I Begin by determining the basic income statement equation Sales revenue Fixed expenses Variable expenses = Operating income Using the basic income statement equation you determined above, solve for the number of shows to breakeven. The number of shows needed annually to break even is 32 Requirement 3. Use the shortcut unit contribution margin approach to compute the number of shows needed annually to com a profit of $273.600 Is this goal realistic? Give your reason Begin by selecting the formula Fixed expenses Operating income ) Contribution margin per show Target of shows Using the equation you determined above, solve for the target number of shows The number of shows needed annually to earn a profit of $273,600 is Enter any number in the edit fields and then click Check Answer 1. Compute revenue and variable expenses for each show. 2. Use the income statement equation approach to compute the number of shows needed annually to break even. 3. Use the shortcut unit contribution margin approach to compute the number of shows needed annually to earn a profit of $273,600 Is this goal realistic? Give your reason. 4. Prepare The Little Mermaid's contribution margin income statement for 110 shows each year. Report only two categories of expenses: variable and fixed. Print Done

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