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The 100-room limited service Pepper Inn has an ADR of $80 and variable cost per room sold of $15. Assume there is no other sales activity. Its monthly fixed cost total $100,000.
1. How many rooms must be sold to break even?
2. What day of the month does it break even if it averages a paid occupancy percentage of 60 percent? Assume all 100 rooms are available for sale each day.
3. if variable costs are reduced by $3 and fixed cost increase by $72,000 annually, what are the monthly breakeven revenues?
how to report sale of stock of s corporation to the other shareholder as given we are 2 shareholders for xyz
Agee Corporation acquired a 38% interest in Trent Company on January 1, 2015, for $480,000. At that time, Trent had 1,000,000 shares of its $1 par common stock issued and outstanding. During 2015, Trent paid cash dividends of $154,000 and thereafter ..
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Jackie Fox owns and operates Platinum Transport Co. During the past year, Jackie incurred the following costs related to an 18-wheel truck: Changed engine oil. Installed a television in the sleeping compartment of the truck. Installed a wind deflecto..
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