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Q5. . Classy Hotels is an establishment that provides accommodation to tourists in Las Vegas. The average price of a Deluxe Room is $350 per
Q5. . Classy Hotels is an establishment that provides accommodation to tourists in Las Vegas. The average price of a Deluxe Room is $350 per night and the average variable expense per night is $102. The average fixed expense per month is $12,000. Determine the sales dollars that must be generated to attain target profits of $40,000 per month? (Hint: Sales $ to attain target profit = Target profit + Fixed expenses/CM Ratio) Units 1 Contribution Margin Ratio Break Even + Profit in units Break Even + Profit in Units CVP Income Statement Units
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