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Take me to the text Hairs to You provides special occasion haircuts and generates average revenue of $71 per customer. The salon's fixed costs are
Take me to the text Hairs to You provides special occasion haircuts and generates average revenue of $71 per customer. The salon's fixed costs are $41,000 per year, which include rent, utilities and magazine subscriptions. Its variable costs are $35.50 per customer. Target operating income for the year is $95,000. Do not enter dollar signs or commas in the input boxes. a) Calculate the revenues needed to obtain the target operating income. Round the Contribution Margin ratio to 2 decimal places. Round all other answers to the nearest whole number CM ratio: % Required CM: $ Revenue: $ b) How many haircuts have to be provided to earn an operating income of $70,000? To break-even? Round up to the nearest whole unit. BEP: Haircuts to yield $70,000: c) Calculate the operating income if 3,500 haircuts are provided. Round to the nearest whole number
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