So I did the Milestone 1 already and it seems to be correct. But now i need to do the Milestone 2

Please help.

	Street Sweep
	MILESTONE 1 - Variable & Fixed Cost Exercise
	INSTRUCTIONS:
	Determine the per unit cost for each dog.
	Fill in the blanks to get the per unit cost and fixed cost of each service.
	Based on 5 grooms per day
	GROOMING
	Item	Variable Costs		Item	Fixed Costs
	Shampoo	$ 1.04		Groomer	$ 2,080.01
	Clipper(s)	1.37		Rent	30.95
	Bowls	0.72		Loan	20.00
	Towels	5.83		Utilities and Insurance	28.57
	Scissors	1.01		Depreciation on heating system	3.95
				Cleaning Products: Odoban	2.08
				Cleaning Products: Simple Green	2.36
				Draw	200.00
	Total Variable Costs	$ 9.97		Total Fixed Costs	$ 2,367.92
	Based on 22 dogs per day for six days a week. Assume 25 operating days for kennel and 22 eight-hour work days for kennel attendant.
	DAY CARE
	Item	Variable Costs		Item	Fixed Costs
	Day care attendant	$ 2.88		Rent	$ 232.14
	Toys	0.27		Loan	150.00
	Bowls	0.10		Utilities and Insurance	214.29
	Towels	1.40		Depreciation on heating system	29.64
				Cleaning Products: Odoban	15.59
				Cleaning Products: Simple Green	16.78
				Draw	200.00
	Total Variable Costs	$ 4.74		Total Fixed Costs	$ 858.44
	Based on 12 dogs per day. Assume 22 eight-hour work days for kennel attendant.
	BOARDING
	Item	Variable Costs		Item	Fixed Costs
	Kennel attendant	$ 5.63		Depreciation on kennels	$ 80.00
	Bowls	0.86		Rent	386.90
	Towels	0.87		Loan	250.00
				Utilities and Insurance	357.16
				Depreciation on heating system	49.40
				Cleaning Products: Odoban	25.98
				Cleaning Products: Simple Green	29.55
				Draw	200.00
	Total Variable Costs	$ 7.36		Total Fixed Costs	$ 1,378.99

Street Sweep

MILESTONE 2 - Contribution Margin per Unit & Contribution Margin Ratio

INSTRUCTIONS:

Select a price from the scenarios below and compute the contribution for each service based on your selected price.

Variable cost per unit comes from your Variable_Fixed tab completed in Milestone 1.

SCENARIO (choose one from each category):

Dog Day Care

1. With pricing at $18 per dog per day, you can expect to have 22 dogs per day.

2. With pricing at $20 per dog per day, you can expect to have 15 dogs per day.

3. With pricing at $25 per dog per day, you can expect to have 10 dogs per day.

Overnight Boarding

1. With pricing at $25 per dog per day, you can expect to have 12 dogs per day.

2. With pricing at $28 per dog per day, you can expect to have 10 dogs per day.

3. With pricing at $30 per dog per day, you can expect to have 7 dogs per day.

Basic Groom

1. With pricing at $25 per dog per day, you can expect to have 5 dogs per day.

2. With pricing at $30 per dog per day, you can expect to have 4 dogs per day.

3. With pricing at $35 per dog per day, you can expect to have 3 dogs per day.

DAY CARE

BOARDING

GROOMING

Sales Price

$ -

$ -

$ -

Variable Cost per Unit

-

-

-

Contribution Margin

$ -

$ -

$ -

	Street Sweep
	MILESTONE 2 - Break-Even Analysis
	INSTRUCTIONS:
	Show all steps and calculations to determine the break-even.
	Determine the break-even for the target profit levels as outlined in the instructions.
	Break-even = Fixed Costs / Contribution Margin
		DAY CARE		BOARDING		GROOMING
	Sales Price	$ -		$ -		$ -
	Fixed Costs	$ -		$ -		$ -
	Contribution Margin	$ -		$ -		$ -
	Break-even Units (round up)	-		-		-
	Target Profit	$ 417.00		$ 583.00		$ 1,000.00
	Break-even Units (round up)	-		-		-
	Target Profit	$ 667.00		$ 909.00		$ 1,500.00
	Break-even Units (round up)	-		-		-