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Would it be possible to show how to do the work? Please help! (Need help with A through D) 11. Use the following income statement
Would it be possible to show how to do the work? Please help!
(Need help with A through D)
11. Use the following income statement to answer question a. through f. Round up on to 1/100th. Use 2 decimal places to solve all problems. Summary Income Statement Smith Hotel For the year ended December 31 200X (In Thousand) Operating Departments: Rooms Food Beverage Telephone Total Cost of Revenue Sale 5000 0 1500 450 800 200 300 200 7600 850 Payroll 1000 650 250 50 1950 Other Income expenses (Loss) 400 3600 300 100 80 270 20 30 4000 800 Undistributed Operating Expenses: Administrative and General Information systems Human resources Transportation Marketing Property operation and maintenance Utility Income after undistributed operating expenses 100 50 30 20 100 100 0 2350 50 50 260 40 300 100 400 2000 150 100 290 60 400 200 400 2400 Rent, Property taxes and insurance Interest Depreciation 200 1000 500 1700 Income before income taxes Income taxes 700 210 Net Income 490 a. What is CMRw? b. What is total revenue at breakeven? c. What is total revenue to yield a net income of $500,000? d. What is rooms revenue when a net income equals $500,000? e. Revenue at breakeven if fixed costs increase by $300,000? f. Revenue at breakeven if fixed costs increase by $300,000 and revenue increase 10% for each department through price increase? 11. Use the following income statement to answer question a. through f. Round up on to 1/100th. Use 2 decimal places to solve all problems. Summary Income Statement Smith Hotel For the year ended December 31 200X (In Thousand) Operating Departments: Rooms Food Beverage Telephone Total Cost of Revenue Sale 5000 0 1500 450 800 200 300 200 7600 850 Payroll 1000 650 250 50 1950 Other Income expenses (Loss) 400 3600 300 100 80 270 20 30 4000 800 Undistributed Operating Expenses: Administrative and General Information systems Human resources Transportation Marketing Property operation and maintenance Utility Income after undistributed operating expenses 100 50 30 20 100 100 0 2350 50 50 260 40 300 100 400 2000 150 100 290 60 400 200 400 2400 Rent, Property taxes and insurance Interest Depreciation 200 1000 500 1700 Income before income taxes Income taxes 700 210 Net Income 490 a. What is CMRw? b. What is total revenue at breakeven? c. What is total revenue to yield a net income of $500,000? d. What is rooms revenue when a net income equals $500,000? e. Revenue at breakeven if fixed costs increase by $300,000? f. Revenue at breakeven if fixed costs increase by $300,000 and revenue increase 10% for each department through price increaseStep by Step Solution
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