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The Wyoming State Fair is one of the largest state fairs in the United States. ( Click the icon for additional information about the fair.

The Wyoming State Fair is one of the largest state fairs in the United States.
(Click the icon for additional information about the fair.)
Assume the following schedule of fees for food vendors at the Wyoming State Fair:
(Click the icon to view the schedule of fees.)
Celestial Concessions is a vendo
(Click the icon to view additi
Read the requirements
Requirement 1. Of the fees listed in the schedule, which fees are variable with respect to the number of customers at the booth? Which fees are fixed?
\table[[Fee,Fixed/Variable],[Concession fees,Variable],[Electrical service,Fixed],[Employee wages,Fixed],[Fair admission fees,Fixed],[Ground service fees,Fixed],[Parking permit fees,Fixed]]
More info
It has a food booth that requires 20 feet of front frontage and is 13 feet deep. Celestial Concessions expects to have sales averaging $3,000 per day for each of the 10 days of the fair. It has a total of four employees who will work the fair throughout the entire 10-day period. Celestial Concessions pays for each employee's fair admission and parking. Assume that the employee wages for the 10-day period are expected to total $5,895.
Requirements
Of the fees listed in the schedule, which fees are variable with respect to the number of customers at the booth? Which fees are fixed?
What is the projected total fee that Celestial Concessions will need to pay to The Wyoming State Fair assuming it meets its expected sales level for each of the 10 days of the fair?
Assume that variable costs are 60% of sales revenue. (This 60% includes the 18% concession fee charged by The Wyoming State Fair.) How much in total sales revenue is needed for Celestial Concessions to break even?
Calculate Celestial Concessions' margin of safety both in dollars and percentage,
More info
$6 per linear foot for ground service fees (front footage x depth)
18% of concessions (food sales)
$25 per 10-day parking permit
$280 for 100-amp electrical service
$55 per 10-day fair admittance pass (one is included with basic rental agreement)
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