Question
Anus Amusement Center has collected the following data for operations for the year. Total revenues $ 2,015,000 Total fixed costs $ 642,600 Total variable costs
Anus Amusement Center has collected the following data for operations for the year.
Total revenues | $ | 2,015,000 |
Total fixed costs | $ | 642,600 |
Total variable costs | $ | 1,105,000 |
Total tickets sold | 65,000 | |
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 $302,400 in operating profits, she will close it down. What number of tickets must be sold for Anus Amusements to make a $302,400 operating profit for the year on ticket sales? (Do not round intermediate calculations.)
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started