What level of sales revenue is required for operating income

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1. A resort hotel has total angfnual sales revenue of $1,000,000, variable costs of $350,000, and fixed costs of $570,000. The fixed costs include $80,000 a year for land rental lease. a. Calculate the hotel's breakeven point. b. If the owners had an equity investment in the hotel of $1,200,000, what level of sales revenue is required for an operating income (BT) representing a 15% return on their investment?

2. One thing that stands out about companies ranked in Fortune’s 100 Best Companies to Work For is their benefits packages. Still, the standard perception among many is that the value of these benefits has been declining relative to what was offered in previous decades. And many organizations are concerned about the rising costs of these benefits and question their value to the organization, especially since competitors might not offer any benefits by using contract employees and/or by using part-timers.

In your opinion, what benefits are of greatest value to employees? To the organization? Why?

Reference no: EM132233891

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