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pls help and show work thank you Joey's Recording Studio rents studio time to musicians in 2-hour blocks. Each session includes the use of the
pls help and show work thank you
Joey's Recording Studio rents studio time to musicians in 2-hour blocks. Each session includes the use of the studio facilities, a digital recording of the performance, and a professional music producer/mixer. Anticipated annual volume is 1,000 sessions. The company has invested $2,000,000 in the studio and expects a return on investment (ROI) of 16.5%. Budgeted costs for the coming year are as follows. Per Total Session $60 $400 $50 Direct materials (tapes, CDs, etc) Direct labor Variable overhead Fixed overhead Variable selling and administrative expenses Fixed selling and administrative expenses $850,000 $40 $800,000 (a) Determine the total cost per session. Total cost per session: $ Save for Later (b) Determine the desired ROI per session. $ Desired ROI per session Save for Later (c) c Calculate the mark-up percentage on the total cost per session. % Mark-up percentage on the total cost per session At Save for Later (d) Calculate the target price per session. $ $ Target price per session Save for LaterStep by Step Solution
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