In eight weeks, you will be heading home for the summer (time flies when you are having fun!). A local city is running its annual carnival and has offered you an opportunity to set up a booth. In this booth, you can sell a single food item you desire (e.g. funnel case, deep-fried Oreos, hot dogs). The carnival will run from Monday through Saturday (June 8th thru June 13th) each evening from 6:00pm 10:00 pm. In operating this booth, you will need to buy all materials, hire all of your own help (if needed), and pay 12.5% of your gross sales revenue to the S&S Amusement Company (the operator of the carnival) and 12.5% of your gross sales revenue to the city. In additional, you will have to pay the city a $200 rental costs (which includes utilities expense) for the booth for the week. Obviously, you are very busy this summer, and in order to make this opportunity a good use of your time, you need to determine the feasibility/profitability of this proposed venture. In addition, a good portion of the money you earn in the summer may go towards your college education, so it is important you are able to have some success with this opportunity. Your profit-planning task is multifaceted. You will need to think like an entrepreneur, deal with ambiguity, and make informed judgments as you gauge the practicality and financial viability of this business venture. To do that, you will need to determine your financial goals; identify the product to make and sell; understand the process of getting the product ready for sale; and identify and research all costs (direct and indirect) associated with the undertaking. In addition, you will need to perform market research to set a price for the product, estimate demand, and use CVP analysis to determine the feasibility of the one-week venture. Like an entrepreneur contemplating a new venture, you have the real-world task of gathering the relevant information ahead of you. As you proceed, you will need to decide what data (e.g. various costs, production time, capacity) to collect, and where and how to find this information. In addition, you will need to organize, analyze, and communicate information in a way that makes sense to you and to others, as you may want to convince them to collaborate with you. Other parties are often involved in lending decisions and may require reports containing detailed analyses. The specific requirements for the project are as follows: A. Determine your financial goal for this one-week venture (for example, how much money you expect to make on a net basis?). B. Briefly describe the product that you will sell at the carnival as well as all of the costs that you will likely incur during the week. Identify and define an appropriate cost driver. Classify each costs as variable, fixed, or mixed for the carnival time horizon. For mixed costs, be sure to identify the variable and fixed components. Compile, organize, and present data in a logical way.

For the item lemonade, and including payment to the church and gross sales revenue. How to determine the financial goal for Monday-Saturday 6pm-10pm and breakdown of costs including fixed and variable costs and costs of the direct materials, direct labor, and overhead involved in making your product.