The owner of a local motel told you to help him set up his budget with the following information:

Its monthly Fixed Cost amount is $120,000, while its Variable Cost is $15 per room sold.

During the slowest month, he will reduce his ADR to $30 to sell 6,000 rooms. However, the Variable Cost per room will not change. Using the information provided, complete the Pro Forma Income Statements (Operating Budget); and provide your answer to the question below.

Slowest month

(6,000 rooms to sell @ lowered ADR of $30)

Vertical Analysis (%)

Revenues: $180,000 XXXXXX

Variable Cost ($15 per room): __(25)___ __(30)___

Contribution Margin: __(26)___ __(31)___

Fixed Cost: $120,000 __(32)___

EBT: __(27)___ XXXXXX

Tax (40%) __(28)___ XXXXXX

Net Income: __(29)___ __(33)___

Provide your answer to the vertical analysis % of (30)

Provide your answer to the vertical analysis % of (31)

Provide your answer to the vertical analysis % of (32) rounded to the first decimal of the percentage

Provide your answer to the vertical analysis % of (33) rounded to the first decimal of the percentage