As manager of the St. Cloud Theatro Company, you have docided that concession sales will support themselves. The following table provides the information you have been able to put together thus far: Item % of Revenue Selling Price $1.20 $2.00 $1.00 $1.00 Variable Cost Soft Drink $0.60 $0.00 24 Wine 25 Coffee $0.30 31 Candy $0.35 20 Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a waste allowance for all categories. You ostimate labor cost to be $280.00 (5 booths with 2 people each). Even if nothing is sold, your labor cost will be $280.00, so you decide to consider this a fixed cost. Booth rental, which is a contractual cost at $80.00 for each booth per night, is also a fxed cost. a) Based on the information available, the per night break-oven point in dollars for the St. Cloud Theatre Company = $ (round your response to two decimal places).
As manager of the St. Cloud Theatro Company, you have docided that concession sales will support themselves. The following table provides the information you have been able to put together thus far: Item % of Revenue Selling Price $1.20 $2.00 $1.00 $1.00 Variable Cost Soft Drink $0.60 $0.00 24 Wine 25 Coffee $0.30 31 Candy $0.35 20 Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a waste allowance for all categories. You ostimate labor cost to be $280.00 (5 booths with 2 people each). Even if nothing is sold, your labor cost will be $280.00, so you decide to consider this a fixed cost. Booth rental, which is a contractual cost at $80.00 for each booth per night, is also a fxed cost. a) Based on the information available, the per night break-oven point in dollars for the St. Cloud Theatre Company = $ (round your response to two decimal places).
Chapter15: Retailing, Direct Marketing, And Wholesaling
Section15.2: Lowe’s Taps Technology For Retailing Edge
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Transcribed Image Text:As manager of the St. Cloud Theatre Company, you have decided that concession sales will support
themselves. The following table provides the information you have been able to put together thus far.
Item
% of Revenue
Selling Price
$1.20
$2.00
$1.00
$1.00
Variable Cost
Soft Drink
$0.60
24
25
$0.90
$0.30
Wine
Coffee
31
Candy
$0.35
20
Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a waste
allowance for all categories. You ostimate labor cost to be $260.00 (5 booths with 2 people each)
Even if nothing is sold, your labor cost will be $280.00, so you decide to consider this a fixed cost
Booth rental, which is a contractual cost at $80.00 for each booth per night, is also a fixed cost.
a) Based on the information available, the per night break-oven point in dollars for the St. Cloud
Theatre Company = $(round your response to two decimal places).
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