Exercise 5-16 Break-Even Analysis and CVP Graphing [LO5-2, LO5-4, LO5-5]

[The following information applies to the questions displayed below.]

The Hartford Symphony Guild is planning its annual dinner-dance. The dinner-dance committee has assembled the following expected costs for the event:

Dinner (per person)	$	11
Favors and program (per person)	$	2
Band	$	1,980
Rental of ballroom	$	990
Professional entertainment during intermission	$	990
Tickets and advertising	$	2,640

The committee members would like to charge $24 per person for the evenings activities.

Exercise 5-16 Part 1

Required:

1. What is the break-even point for the dinner-dance (in terms of the number of persons who must attend)?

2. Assume that last year only 500 persons attended the dinner-dance. If the same number attend this year, what price per ticket must be charged in order to break even?