Question:I have to compute the break even point for the problem that I have placed below... I have looked at examples of this problem and there should be a break even point but my calculations are not projecting this. i know the variable cost is 4% of 53,084, which comes to $2123 (rounded to the nearest full dollar amount) but the sum of contributions from sponsors and receipts from ticket sales does not match the sum of fixed costs and variable costs. is there something I am not doing properly in computing the break-even point? even following the break-even formula is not helping.

below is the data:

The following revenue and expense figures relate to the first year of the rodeo. 

Receipts

Contributions from sponsors   $22,000

Receipts from ticket sales    $28,971

Share of concession profits    $1,513

Sale of programs              $600

Total receipts              $53,084

Expenses

Livestock contractor         $26,000

Prize money               $21,000

Contestant hospitality         $3,341*

Sponsor signs for arena       $1,900

Insurance                  $1,800

Ticket printing               $1,050

Sanctioning fees              $925

Entertainment                $859

Judging fees                 $750

Port-a-potties                 $716

Rent                       $600

Hay for horses                $538

Programs                    $500

Western hats to first 500 children   $450

Hotel rooms for stock contractor    $325

Utilities                      $300

Sand for arena                 $251

Miscellaneous fixed costs                 $105

Total expenses                      $61,410

Net loss                           $ (8,326)

and here is the problem-

• Shelley, Jonathan, and Adrian Stein, the Fundraising Chairperson, are beginning to make plans for next year's rodeo. Shelley believes by negotiating with local feed stores, inn- keepers, and other business owners, costs can be cut dramatically. Jonathan agrees. After carefully analyzing costs, Jonathan has estimated the fixed expenses can be pared to approximately $51,000. In addition, Jonathan estimates variable costs are 4% of total gross receipts. After talking with business owners who attended the rodeo, Adrian is confident the funds solicited from sponsors will increase. Adrian is comfortable in budgeting revenue from sponsors at $25,600. The local youth group is unwilling to provide concessions to the audience unless they receive all of the profits. Not having the personnel to staff the concession booth, members of the Circular Club reluctantly agree to let the youth group have 100% of the profits from the concessions. In addition, members of the rodeo committee, recognizing the net income from programs was only $100, decide not to sell rodeo programs next year.
• Compute the break-even point in dollars of ticket sales assuming Adrian and Jonathan are correct in their assumptions.