Determine the inns break-even point in number of rented rooms per month.The Palmer Acres Inn is trying
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Question:
Determine the inns break-even point in number of rented rooms per month.The Palmer Acres Inn is trying to determine its break-even point during its off-peak season. The inn has 50 rooms that it rents at $60a night. Operating costs are as follows:
Salaries | $8,000 | per month |
Utilities | $1,400 | per month |
Depreciation | $1,000 | per month |
Maintenance | $2,140 | per month |
Maid service | $10 | per room |
Other costs | $20 | per room |
Determine the inns break-even point in number of rented rooms per month.
Break-even point ___________________ rooms.
Determine the inns break-even point in dollars.
Break-even point $_____________________
Determine the inns break-even point in dollars.
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