Question
Anus Amusement Center has collected the following data for operations for the year: Total revenues $ 1,708,000 Total fixed costs $ 451,000 Total variable costs
Anus Amusement Center has collected the following data for operations for the year:
Total revenues | $ | 1,708,000 |
Total fixed costs | $ | 451,000 |
Total variable costs | $ | 1,098,000 |
Total tickets sold | 61,000 | |
Required:
a. What is the average selling price for a ticket?
b. What is the average variable cost per ticket?
c. What is the average contribution margin per ticket? (Do not round intermediate calculations.)
d. What is the break-even point? (Do not round intermediate calculations.)
e. Anu has decided that unless the operation can earn at least $184,000 in operating profits, she will close it down. What number of tickets must be sold for Anus Amusements to make a $184,000 operating profit for the year on ticket sales? (Do not round intermediate calculations.)
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