Garner Strategy Institute (GSI) presents executive-level training seminars nationally. Eastern University (EU) has approached GSI to present 40 one-week seminars during 2019. This activity level represents the maximum number of seminars that GSI is capable of presenting annually. GSI staff would present the week-long seminars in various cities throughout the United States and Canada. Terry Gamer, GSI's president, is evaluating three financial options for the revenues from Easterns accept a flat fee for each seminar, receive a percentage of Eastern's profit before tax from the seminars, and form a joint venture to share costs and profits. Estimated costs for the 2019 seminer schedule follow: 3 Garner Strategy Institute Bastern University nces Fixed costs for the year Salaries and benefits Facilities Travel and hotel Other Total fixed costs Variable cont pee participanti Bupplies and materiale Marketing Other site costs $202,000 65,000 0 50.000 9318,000 N/A N/A $266,060 N/A $266,060 $ 0 0 47 18 35 "Eastern's fixed costs are excluded because the amounts are not considered relevant for this decision de, they will be incurred whether or not the seminars are presented). Eastern does not include these costs when calculating the profit before tax for the Seminars Eu plans to charge $1,200 per participant for each week seminar. It will pay all variable marketing site costs, and materials costs Required 1. Assume that the seminars are handied as a joint venture by GSI and EU to pool costs and revenues a. Determine the total number of seminar participants needed to break even on the total costs for this joint venture. b. Assume that the joint venture has an effective income tax rate of 30% How many seminar participants must the joint venture enroll to com an after-tax income of $225,9397 2. Assume that GSI and EU do not form a joint venture, but that St is an independent contractor for EU. EU offers two payment options to GSt: a flat fee of $9,500 for each seminar or a fee of 40% of EU's profit before taves from the seminars, Compute the minimum number of participants needed for GSi to prefer the 40% fee option over the flat fee. Complete this question by entering your answers in the tabs below. Reg Reg 13 R2 Determine the total number of seminar participants needed to break even on the total costs for this joint venture. (Round your final answer to the nearest whole number) Tommoro na potporadedame per ye Reg 103 receive a percentage of Eastern's profit before tax from the seminars, and form a joint venture to share costs and profits. Estimated costs for the 2019 seminar schedule follow: Garner Strategy Institute Eastern University Fixed costs for the year Salaries and benefits Facilities Travel and hotel Other Total fixed costs Variable cost per participanti Supplies and materiale Marketing Other site conta $202,000 66,000 0 50,000 $318,000 N/A N/A $266,060 N/A $266,060 $ 0 0 0 47 18 35 'Eastern's fixed costs are excluded because the amounts are not considered relevant for this decision (e. they will be incurred whether or not the seminars are presented). Eastern does not include these costs when calculating the profit before tax for the seminars. EU plans to charge $1,200 per participant for each t-week seminar. It will pay all variable marketing, site costs, and materials costs. Required 1. Assume that the seminars are handled as a joint venture by GSI and EU to pool costs and revenues a. Determine the total number of seminar participants needed to break even on the total costs for this joint venture. b. Assume that the joint venture has an effective income tax rate of 30% How many seminar porticipants must the joint venture enrol to earn an after-tax income of $225,939? 2. Assume that GSI and EU do not form a joint venture, but that GSI is an independent contractor for EU. EU offers two payment options to GSI a flat fee of $9,500 for each seminar or a fee of 40% of EU's profit before taxes from the seminars. Compute the minimum number of participants needed for GSI to prefer the 40% fee option over the flat fee. Complete this question by entering your answers in the tabs below. Reg 1A Reg 13 Reg 2 Assume that the joint venture has an effective income tax rate of 30% How many caminar participants must the Joint venture enroll to earn an after-tax income of $225,9397 (Round your final answer to the nearest whole number Required nuwet et ant por year Terry Garner, GSi's president, is evaluating three financial options for the revenues from Eastern: accept a flat fee for each semi receive a percentage of Eastern's profit before tax from the seminars, and form a joint venture to share costs and profits. Estimated costs for the 2019 seminar schedule follow: Garner Strategy Institute Eastern University Pixed costs for the years Salaries and benefits Facilities Travel and hotel Other Total fixed costs Variable cont per participanti Supplies and materials Marketing Other site costs $202,000 66,000 0 50,000 8318,000 N/A N/A $266,060 N/A $266,060 0 47 18 35 Eastern's fixed costs are excluded because the amounts are not considered relevant for this decision (ie, they will be incurred whether or not the seminars are presented). Eastern does not include these costs when calculating the profit before tax for the seminars Eu plans to charge $1.200 per participant for each 1 week seminorIt will pay all variable marketing, site costs, and materials costs. Required 1. Assume that the seminars are handled as a joint venture by GSI and EU to pool costs and revenues a. Determine the total number of seminar participants needed to break even on the total costs for this joint venture. b. Assume that the joint venture has an effective income tax rate of 30%. How many seminar participants must the joint venture enroll to earn an after-tax income of $225,939? 2. Assume that stand EU do not form a joint venture, but that GSI is an independent contractor for EU. EU offers two payment options to St a fiat fee of $9,500 for each seminar or a fee of 40% of EU's profit before taxes from the seminars. Compute the minimum number of participants needed for GSi to prefer the 40% fee option over the flat fee. Complete this question by entering your answers in the tabs below. Reg 1A Re 18 nog 2 Assume that GST and EU do not form a joint venture, but that GSI is an independent contractor for EU. EU offers two payment options to GSI: a fiat fee of $9,500 for each seminar or a fee of 40% of EU's profit before taxes from the seminars, Compute the minimum number of participants needed for GST to prefer the 40% fee option over the fat fee. (Round your final answer to the nearest whole number) Minimum number of partops Show less