Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You run a shared workspace company. Given the data, how many total hours do you need to break-even per month? - No fixed costs -

You run a shared workspace company. Given the data, how many total hours do you need to break-even per month?

- No fixed costs - Rent: $8000/month - Other Expenses: $8000/month - Membership Rate: $5/hr/person In 3 months, you have 300 customers who average 10/hrs per month. Calculate profit/loss You are offering a promotion for new customers. Get 15 hrs for $60. Every hour after is $4/hr - Given the two cohorts of customers, (regular pricing vs promotional pricing) how many customers do you need of each cohort to break even? - Calculate avg number of hours per month someone who doesnt use the promotion need to use the workspace to achieve $15,000/month revenue - Does this promotion work as intended (to maximize/increase revenue per customer)?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Local Public Finance And Public Policy Volume 3 1987

Authors: John M. Quigley

1st Edition

0892326484, 9780892326488

More Books

Students also viewed these Finance questions