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Green Productions performs London shows. The average show sells 1,000 tickets at $60 per ticket. There are 125 shows per year. No additional shows can

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Green Productions performs London shows. The average show sells 1,000 tickets at $60 per ticket. There are 125 shows per year. No additional shows can be held as the theater is also used by other production companies. The average show has a cast of 60, each earning a net average of $320 per show. The cast is paid after each show. The other variable cost is a program-printing cost of $8 per guest. Annual fixed costs total $459,200 Read the requirements. . . , you get stuck: Remember the discussions we've had in lectures related to things cancelling out when multiplied together Select the formula and enter the amoy Requirements - X mou npu val Contribution margin per unit Fixed costs Net sales revenue per unit Number of units sold Operating income Total variable cost Variable costs per unit 1. Compute revenue and variable costs for each show. 2. Use the equation approach to compute the number of shows Green Productions must perform each year to break even 3. Use the contribution margin ratio approach to compute the number of shows needed each year to earn a profit of $4,264,000. Is this profit goal realistic? Give your reasoning 4. Prepare Green Productions's contribution margin income statement for 125 shows performed in 2018 Report only two categories of costs: variable and fixed 19 Choose from any list or enter any nu Print Done Read the requirements Requirement 1. Compute revenue and variable costs for each show. HINT. This calculation should be straightforward, but if you get stuck. Remember the discussions we've had in lectures related to things cancelling out when multiplied together. Select the formula and enter the amounts to compute sales revenue for each show, Net sales revenue per unit Sales revenue per show 1000 60 6000 w A Select the formula and enter the amounts to compute variable costs for each show. Compute the variable costs per show for each cost separately, and then compute the total variable costs per show Total variable cost Total fixed cost = Variable costs per show Cost of programs 320 8000 19200 Cost of performers 19200 BUUU 11 320 Read the requirements. Cost of programs Cost of performers 19200 11 19200 Total variable costs Requirement 2. Use the equation approach to compute the number of shows Green Productions must perform each year to break even First, select the formula to compute the required sales in units to break even Target profit Rearrange the formula you determined above and compute the required number of shows to break even The number of shows needed annually to break even is Requirement 3. Use the contribution margin ratio approach to compute the number of shows needed each year to earn a profit of $4,264,000. Is this profit goal realistic? Give your reasoning, Begin by showing the formula and then entering the amounts to calculate the required sales dollars to earn a profit of $4,264,000. (Round the required sales in dollars to the nearest whole dollar Round amounts in the formula to two decimal places, XX.XX. Abbreviation used: CM = contribution margin) HINT: Recall that the formula for the ratio approach is VERY similar to the one for CM approach, but due to one minor difference the answer is in total dollars instead of units, - Required sales in dollars 1 % Now use the information given and the required sales in dollars computed in the previous step to determine the required number of shows needed each year to eam a profit of $4,264,000. (Round your answer up to the nearest whole number.) The number of shows needed annually to earn a profit of S4,264,000 is The number of shows needed annually to earn a profit of $4,264,000 is Is this profit goal realistic? Give your reasoning The profit goal of $4,264,000 is since Green Productions currently performs 125 shows a year. Requirement 4. Prepare Green Productions's contribution margin income statement for 125 shows performed in 2018 Report only two categories of costs: variable and fixed HINT: Begin with sales revenue, and recall the subtotal to be calculated in this type of income statement Green Productions Contribution Margin Income Statement Year Ended December 31, 2018 calculated in this type of income statement. Statement 1, 2018 Contribution Margin Cost of Goods Sold Fixed Costs Gross Profit Sales Revenue Variable Costs Operating Income (Loss) Choose from any list or enter any number in the input fi

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