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Donna Botosan operates a bed and breakfast hotel in a resort area near Lake Michigan Depreciation on the hotel is $ 76,356 per year. Donna
Donna Botosan operates a bed and breakfast hotel in a resort area near Lake Michigan Depreciation on the hotel is $ 76,356 per year. Donna employs a maintenance person at an annual salary of $ 58,000 and a cleaning person at an annual salary of $ 41,000. Real estate taxes are $ 27.000 per year. The rooms rent at an average price of $ 77.00 per person per night including breakfast. Other costs are laundry and cleaning service at a cost of $ 27.28 per person per night and the cost of food, which is $ 22,00 per person per night (a) Determine the quantity of rentals and the sales revenue Donna needs to break even using the contribution margin technique. Break-even quantity of rentals Break-even sales $
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