Karen Botosan operates a bed and breakfast hotel in a resort area near Lake Michigan, Depreciation on the hotel is $ 72.296 per year, Karen employs a maintenance person at an annual salary of $ 54.000 and a cleaning person at an annual salary of $ 37,000. Real estate taxes are $ 23,000 per year. The rooms rent at an average price of $ 73,00 per person per night including breakfast. Other costs are taundry and cleaning service at a cost of $ 22.88 per person per night and the cost of food, which is $ 18.00 per person per night. (a) Your answer has been saved. See score details after the due date: Determine the quantity of rentals and the sales revenue Karen needs to break even using the contribution margin technique. Break-even quantity of rentals 5084 Break-even sales 371127 (b) If the current level of rentals is 7.300, by what percentage can rentals decrease before Karen has to worry about having a net loss? (Round percentages to O decimal places, s. 52%) Margin of safety Karen is considering upgrading the breakfast service to attract more business and increase prices. This will cost an additional $ 16 for food costs per person per night. She feels she can increase the room rate to $107.00 per person per night. Determine the quantity of rentals and the sales revenue Karen needs to break even if the changes are made. (Round answers to decimal places, eg. 5,275.) Break-even number of rentals Break-even sales