Question
You are part of a group of owners who wish to invest money into a new tour business. Use the information below to calculate the
You are part of a group of owners who wish to invest money into a new tour business. Use the information below to calculate the required information asked of you for this question, using the Bottom-Up Pricing method.
*Note*
Only find the answer to the single question being asked of you in this question; do not complete all the Bottom-Up Pricing steps. Previous steps information is provided below to assist you.
Calculate the average selling price required to meet the owners desired rate of return. Round to the nearest dollar.
I need problem-solving process
Revenue | $408718 |
New Equipment Value | $158040 |
Loan Amount | $106796 |
Interest Rate % | 12% |
Food Cost % | 23% |
Variable Wage % | 21% |
Other Variable Expenses % | 13% |
Maximum # of Tour Guests per Tour | 41 |
Average Occupancy % of Tours | 86% |
# of Tours per month | 23 |
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