Discussion Questions 1. What is the break-even point in banquet attendees under each of the three proposed pricing structures? (10 points) table 38 2. What is the expected profit or loss under each of the three pricing structures given the three levels of attendee volumes? (10 points) 9 3. Assume that you are an accounting consultant working on the Association's banquet pricing structure. What recommendation would you make that best meets the Association's stated goals? (20 points) Discussion Question Additional Information and Instructions 1. Revenue and expenses should be treated as fixed for the players and coaches. In your solution this should be referred to as the "Players/Coaches Subsidy or Gain". 2. Using the templates provided, the solution for Discussion Question One should be completed following a six-step process for each of the banquet and pricing structure combinations: 1. Determine which costs are variable vs. fixed for each of the banquets. The relationship will remain constant regardless of pricing structure. (Table 3 ) 2. Calculate the "Players/Coaches Subsidy or Gain". (Table 4) 3. Calculate the contribution margin per family/friend. (Table 5) 4. Calculate the total fixed cost including the "Players/Coaches Subsidy or Gain". (Table 6) 5. Calculate the break-even in attendees. (Table 7) 6. Prepare proforma income statements proving the break-even calculations. (Table 8) 3. Using the templated provided, the solution for Discussion Question Two should be completed for the nine combinations of pricing structure/attendee levels. (Table 9) 4. Discussion Question Three should be answered in a Recorded Zoom Video Presentation Form. Assume that you are a team of consultants providing a recommendation to the Association. Record your Zoom video along with a slide presentation recapping the situation, your analysis, and your recommendation based on the information provided in the case narrative as well as answers to Discussion Questions One and Two. Presentations should be between 510 minutes, maximum of 15 minutes. Table 1: Summary of Cost Information Table 2: Banquet Pricing Options per Attendee Takla A. Rala..1 Discussion Questions 1. What is the break-even point in banquet attendees under each of the three proposed pricing structures? (10 points) table 38 2. What is the expected profit or loss under each of the three pricing structures given the three levels of attendee volumes? (10 points) 9 3. Assume that you are an accounting consultant working on the Association's banquet pricing structure. What recommendation would you make that best meets the Association's stated goals? (20 points) Discussion Question Additional Information and Instructions 1. Revenue and expenses should be treated as fixed for the players and coaches. In your solution this should be referred to as the "Players/Coaches Subsidy or Gain". 2. Using the templates provided, the solution for Discussion Question One should be completed following a six-step process for each of the banquet and pricing structure combinations: 1. Determine which costs are variable vs. fixed for each of the banquets. The relationship will remain constant regardless of pricing structure. (Table 3 ) 2. Calculate the "Players/Coaches Subsidy or Gain". (Table 4) 3. Calculate the contribution margin per family/friend. (Table 5) 4. Calculate the total fixed cost including the "Players/Coaches Subsidy or Gain". (Table 6) 5. Calculate the break-even in attendees. (Table 7) 6. Prepare proforma income statements proving the break-even calculations. (Table 8) 3. Using the templated provided, the solution for Discussion Question Two should be completed for the nine combinations of pricing structure/attendee levels. (Table 9) 4. Discussion Question Three should be answered in a Recorded Zoom Video Presentation Form. Assume that you are a team of consultants providing a recommendation to the Association. Record your Zoom video along with a slide presentation recapping the situation, your analysis, and your recommendation based on the information provided in the case narrative as well as answers to Discussion Questions One and Two. Presentations should be between 510 minutes, maximum of 15 minutes. Table 1: Summary of Cost Information Table 2: Banquet Pricing Options per Attendee Takla A. Rala..1
