assignment
breezyt won't be easy for me to answer questions about these problems via email. .
Use the Formula below:
Profit = Revenue (Sales) – Total Cost
Total Cost = Fixed Cost + Variable Cost
Break-even occurs when the revenue equals to the total cost, at 0 profit (Revenue (Sales) = Total Cost)
1. How many paying customers do we need to break even for the Event A below.
2. If the Event A organizer plans to make a profit of $35,0000, how many paying customers are needed?
Event A
The admission price: $8.00
Fixed cost: $25,000.00
Each patron generates $2.00 in additional costs
3. The Event B organizer needs to decide the admission price. Calculate the admission price to break even.
4. If the admission ticket sets at $10.00, how much is the profit of Event B?
Event B
Fixed cost: $36,000.00
Variable cost: $2.00 per attendee
Estimated attendance: 12,000 attendance
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