Solutions to Application Exercises

I need an excel sheet

7-17. Excel Application: Analyzing Revenue and Expenses for City Hospital Seminars

Figure 7-25 shows the Excel spreadsheet that Bora uses to evaluate the variables relating to the hospital seminar series. She has asked you to use Excel to create a similar spreadsheet to conduct additional what-if and goal seek analyses. You will need to use the following formulas:

Figure 7-25

The hospital seminar series data.

Revenue:

Registration Fees = Attendees per seminar Registration fee Seminars per year

Parking Fees = (Attendees per seminar / Average number attendees per car) Seminars per year Parking fee

Expenses:

Speakers Fees = Speakers fee per session Seminars per year

Tech support = Tech support cost per session Seminars per year

Marketing = Marketing cost per seminar Seminars per year

Room rental = Room rental per seminar Seminars per year

What-If Questions

What would be the impact on net profit if the average attendance per seminar increased to 45?

Profit will increase to $6,180 if average attendance per seminar is increased to 45.

What would be the impact on net profit if the average attendance dropped to 35?

Profit will decrease to $1,740 if average attendance dropped to 35.

What would be the impact on net profit if parking fee is reduced to $3?

Profit will decrease to $3,576 if the parking fee is reduced to $3.

What would be the impact on net profit if the speakers fee increased to $550 per seminar?

Profit will decrease to $3,360 if the speakers fee is increased to $550 per seminar.

What would be the impact on net profit of increasing the marketing expense per seminar to $350, resulting in an increase in average attendance per seminar to 50?

Profit will increase to $7,200 if marketing expenses increase to $350 per seminar and attendance increases to 50 attendees per seminar.

What would be the impact on net profit of an increase in room rental per seminar to $300?

Profit will decrease to $3,360 if room rental per seminar increases to $300.

If Bora can negotiate a room rental fee of $160 per seminar, how much will net profit increase?

Profit will increase to $5,040 if the room rental fee is decreased to $160 per seminar.

If technical support is included in the room rental per seminar, what is net profit?

Profit will increase to $5,760 if technical support is included in the room rental per seminar.

Goal Seek Questions

1. Given the expenses and variables presented in the figure, how many attendees per seminar are required to generate a net profit of $5,500?

Given the expenses and variables as presented, it requires 43 attendees per seminar to generate net profit of $5,500.

2. What parking fee results in a net profit of $4,150?

A parking fee of $600 results in a net profit of $4,150.

3. What registration fee per attendee results in a net profit of $5,750?

A registration fee of $39 per attendee results in a net profit of $5,750.

7-18. Access Application: Marketing City Hospital Seminars

Download the City Hospital database, Ch07Ex02. Write a query that sorts registrants by the type of seminar they have attended. Include the session date as well as attendee information. Modify the query to identify registrants who attended a Knee Replacement seminar. Use the report wizard to create a report that lists the session dates and the names and phone numbers of those who have attended Knee Replacement seminars. This report serves as a patient contact sheet that hospital staff will use to call previous attendees to invite them to attend the new seminar. How many patients are listed on the report? Review the attendees table. Is there additional patient information the hospital could collect that may be useful for future marketing campaigns?

Students should download the Access database named Ch07Ex02.accdb and create a query that sorts registrants by seminar type. The query should include the session date and the attendee information. Students should modify the query to list only the individuals who attended a Knee Replacement seminar, and use the query to create a Patient Contact report that lists 12 patients. Answers will vary regarding other types of information that may be useful for future marketing campaigns. Suggestions may include attendee e-mail address or referral information.

Hospital Seminars Revenues and Expenses Revenue 4 Registration Fees $16,800 5 Parking Fees 960 6 Subtotal $17,760 Expenses 6,000 9 Speakers' Fees 1,800 10 Tech support 11 Marketing 3,000 12 Room rental 3,000 13 Subtotal $13,800 14 15 Net Profit/Loss 3,960 16 17 variables 500 18 Speaker's Fee (per session) 19 Tech Support cost per session 150 20 seminars per year 21 Registration fee 22 Attendees per seminar 40 23 Room rental per seminar 250 24 parking fee 25 Average attendees per car 26 Marketing cost per seminar 250