E5-9 Compute break-even point.
In graph sheet (Graph) show the CVP and BEP graphically
Exercise E5-9 The Green Acres Inn is trying to determine its break-even point. The inn has								100
rooms that it rents at			$120.00	a night. Operating costs are as follows.
		Salaries		$12,400	per month
		Utilities		2,200	per month
		Depreciation		2,000	per month
		Maintenance		200	per month
		Maid service		22	per room
		Other costs		56	per room
Instructions:
(1) Determine the inns break-even point in number of rented rooms per month.
Contribution margin per room:					Fixed costs:
Title			Amount		Title		Amount
Title		Amount			Title		Amount
Title		Amount	Formula		Title		Amount
Contribution margin per room			Formula		Title		Amount
					Total fixed costs:		Formula
Break-even point in rooms =			Amount		Amount	=	Formula	rooms
(2) Determine the inns break-even point in dollars.
		Title			Amount
		Title			Amount
		Title			Formula
Or:
Contribution margin ratio =			Amount		Amount	=	Formula
Using the contribution margin ratio =				Amount		Percentage	=	Formula