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Scenario: Prior to Opening, Part II: Your market research indicated the following price ranges as optimal for your area:

? Dog Day Care o With pricing at $18 per dog per day, you can expect to have 22 dogs per day.o With pricing at $20 per dog per day, you can expect to have 15 dogs per day.o With pricing at $25 per dog per day, you can expect to have 10 dogs per day.

? Overnight Boarding

o Witho Witho With

? Basic Groomo Witho Witho With

pricing at $25 per dog per day, you can expect to have 12 dogs per day. pricing at $28 per dog per day, you can expect to have 10 dogs per day. pricing at $30 per dog per day, you can expect to have 7 dogs per day.

pricing at $25 per groom, you can expect to do 5 grooms per day. pricing at $30 per groom, you can expect to do 4 grooms per day. pricing at $35 per groom, you can expect to do 3 grooms per day.

Additionally, you need to compare your break-even points for the following target profits for each area of your business:

? Day Care o Break-even

o $417 target profit each montho $667 target profit each month

? Boarding o Break-even

o $583 target profit each montho $909 target profit each month

? Grooming o Break-even

o $1,000 target profit each montho $1,500 target profit each month

Prompt: Continue your work in your provided workbook by conducting a cost-volume profit analysis, specifically addressing the following critical elements:

? Determine your contribution margin per unit and contribution margin ratio in the Contribution Margin Analysis tab.

? Determine your break-even points for achieving your target profits in the Break-Even Analysis tab.

? Incorporate all feedback from Milestone One.

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Prepare the Contribution Margin per Unit and Contribution Margin Ratio

Grooming

Day Care

Boarding

Contribution Margin Analysis will be based on the pricing levels you choose from the given scenario. For instance, grooming price may be $25, $30, or $35.

Sales Price

Sales Price

Sales Price

Variable Cost per unit

Variable Cost per unit

Variable Cost per unit

Contribution Margin

Contribution Margin

Contribution Margin

Break-Even Analysis

Instructions - Show all steps and calculations to determine the break-even, as well as the break-even for the target profit levels as outlined in the instructions. Round all decimals UP to next whole number

Grooming

Day Care

Boarding

Break-even Units=

Break-even Units=

Break-even Units=

Fixed Costs

Fixed Costs

Fixed Costs

Cont. Margin

Cont. Margin

Cont. Margin