What would you expect to be the total cost of providing

Assignment Help Accounting Basics

Reference no: EM13485925

Through using the high-low method, Regency Hotels estimates the total costs of providing room service meals to amount to $5,950 per month, plus 30 percent of room service revenue.

Required:

(a)What is the contribution margin ratio of providing room service meals? (Omit the "%" sign in your response.)

Contribution margin ratio 70%

(b)What is the break-even point for room service operations in terms of total room service revenue?

(Omit the "tiny_mce_markerquot; sign in your response.)

Break-even point $

(c)What would you expect to be the total cost of providing room service in a month in which room service revenue amounts to $15,000? (Omit the "tiny_mce_markerquot; sign in your response.)

Total Cost $

Reference no: EM13485925

Questions Cloud

If the weighted average cost of capital is 13 and the free : vasudevan inc. forecasts the free cash flows in million shown below. if the weighted average cost of capital is 13

The blankenship company paid a cash dividend of 044 per : 1the blankenship company paid a cash dividend of 0.44 per share during the current year and reported 18000 shares of

Talmud book company borrows 16000 for 30 days at 9 percent : talmud book company borrows 16000 for 30 days at 9 percent interest. what is the dollar cost of the

After a 5-for-1 stock split the strasburg company paid a : after a 5-for-1 stock split the strasburg company paid a dividend of 0.75 per new share which represents a 9 increase

What would you expect to be the total cost of providing : through using the high-low method regency hotels estimates the total costs of providing room service meals to amount to

The company is contemplating a 3-for-2 stock split assuming : gamma medicals stock trades at 90 a share. the company is contemplating a 3-for-2 stock split. assuming the stock split

How can you calculate the cost of debt what methods can you : how can you calculate the cost of debt? what methods can you use? provide at least two

You have received the bank statement for your companys : you have received the bank statement for your companys account and need to reconcile it with your cash ledger account.

The earnings dividends and stock prices are expected to : the earnings dividends and stock prices are expected to grow at 7 per year in the future. common stock sells for 23

User Account

All Pages