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Betty Botosan operates a bed and breakfast hotel in a resort area near Lake Michigan. Depreciation on the hotel is $72,588 per year. Betty employs
Betty Botosan operates a bed and breakfast hotel in a resort area near Lake Michigan. Depreciation on the hotel is $72,588 per year. Betty employs a maintenance person at an annual salary of $55,000 and a cleaning person at an annual salary of $38,000. Real estate taxes are $24,000 per year. The rooms rent at an average price of $74.00 per person per night including breakfast. Other costs are laundry and cleaning service at a cost of $23.92 per person per night and the cost of food, which is $19.00 per person per night. (a) Determine the quantity of rentals and the sales revenue Betty needs to break even using the contribution margin technique. Break-even quantity of rentals Break-even sales $ Attempts: 0 of 1 used Question Part Score (b) The parts of this question must be completed in order. This part will be available when you complete the part above
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