• The lucas inn has room and food operations. The rooms operation provides 65% of the total revenue and has variable costs of 25%. The food operation provides 35% of the total revenue and has variable costs of 60%. the total annual fixed costs are $300,000.

1. What is the breakeven point?
2. If the average tax rate is 20 percent, what is the annual revenue reburied to achieve annual net income of 100,000$?

Answer questions 1 and 2