Answered step by step
Verified Expert Solution
Question
1 Approved Answer
YYZ Hotel has a total 200 rooms. Its sales mix and contribution information per room is given below: Sales Mix Contribution margin Standard 35% $50
YYZ Hotel has a total 200 rooms. Its sales mix and contribution information per room is given below:
Sales Mix | Contribution margin | |
Standard | 35% | $50 |
Deluxe | 50% | $70 |
Suite | 15% | $100 |
The total fixed cost for the month of November is $283,500
Questions:
- Weighted average contribution margin per room
- What is the breakeven occupancy?
- Number of standard rooms to be sold to breakeven
- Number of deluxe rooms to be sold to breakeven
- Number of suite to be sold to breakeven
- What would be the room profit if occupancy is 90% for November?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started