Building Your Skills Case [L09-1, LO9-2, Lo9.3] The Little Theatre is a nonprofit organization devoted to staging plays for children. The theater has a very small full time professional administrative staff Through a special arrangement with the actors' union, actors and directors rehearse without pay and are paid only for actual performances The Little Theatre had tentatively planned to put on six different productions with a total of 50 performances. For example, one of the productions was Peter Rabbit, which had a six-we planning budget appear below ek run with three performances on each weekend. The costs from the current year's he Little Theatre Costs from the Planning Budget Budgeted number of productions Budgeted number of performances 50 Actors and directors wages Stagehands wages Ticket booth personnel and ushers wages Theater hall rent Printed programs Publicity Administrative expenses Total s 115,00e 21,500 11,800 49,880 36,500 9,090 18,000 4,900 304,B0e Some of the costs vary with the number of productions, some with the number of performanc neither the number of productions nor the number of performances. The costs of scenery,c number of productions. It doesn't make any difference how many times Peter Rabbit is performed, the cost of the Likewise, the cost of publicizing a play with posters and radio commercials is the same whether there are 10, 20, or 30 of the play On the other hand, the wages of the actors, directors, stagehands, ticket number of performances. The greater the number of perf hall and the best estimate is that approximately 75% of the budgeted the remaining 10% depend on the number of performances. es, and some are fixed and-Bepend or performances number of performances. Administrative expenses are more difficult to pin down, but The costs of scenery costumes. props, and publicity vary with the scenery is the same. booth personnel, and ushers vary with the ormances, the higher the wage costs will be. Similarly, the costs of renting the costs are fixed, 15% depend on the number of productions staged, and After the beginning of the year, the board of directors of the theater authorized expanding the theater's program to five productions and a total of 54 performances. Not (Grants from donors and ticket sales were also correspondingly higher, but are not shown here.) Data concerning surprisingly, actual costs were considerably higher than the costs from the planning budget aopear below