As manager of the St. Cloud Theatre Company, you have decided that concession sales will supportthemselves. The following table provides the information you have been able to put together thus far.Item% of RevenueSelling Price$1.20$2.00$1.00$1.00Variable CostSoft Drink$0.602425$0.90$0.30WineCoffee31Candy$0.3520Last year's manager, Scott Ellis, has advised you to be sure to add 10% of variable cost as a wasteallowance 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 costBooth 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. CloudTheatre Company = $(round your response to two decimal places).

Given: Labor cost=$280Contractual cost=$80No. of booths = 5

Answered: As manager of the St. Cloud Theatro…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

See similar textbooks

Similar questions

Please answer D & E.
A manufacturer and a retailer are evaluating to form a supply chain (i.e. to act like a single company). They are currently supplying winter gloves. The manufacturer is producing each pair of winter gloves at $3, and selling each pair to the retailer at $6. The retailer is selling to the customers at $12 per pair. The retailer is philanthropic and donates all unsold winter gloves to a nearby charity home at the end of the season. The customer demand at the retailer is uniformly distributed between 5 and 55. The retailer places only one order per season. Compute the expected profit with and without the supply chain relationship and comment if they should form such a supply chain relationship.
In your own words, describe how you will use STAR reports to make decisions about room pricing and revenue management.
What is the impact of lead times on the implementation of the Wilson approach in supply chain management?
Consider the supply chain illustrated here:Last year, the retailer's weekly variance of demand was 200 units. The variance of orders was 500, 600, 750, and I ,350 units for the retailer, wholesaler, distributor, and manufacturer, respectively.(Note that the variance of orders equals the variance of demand for that firm 's supplier.)a) Calculate the bullwhip measure for the retailer.b) Calculate the bullwhip measure for the wholesaler.c) Calculate the bullwhip measure for the distributor.d) Calculate the bullwhip measure for the manufacturer.e) Which firm appears to be contributing the most to the bullwhip effect in this supply chain?
Dr. Wei and Dr. Tusang have a small optometry practice, and they have been in business for over 15 years. They currently store charts in an offsite storage facility and do not have a retention plan or destruction policy. They are considering storing their records electronically. Dr. Wei saw your advertisement in the Journal of Optometry and phoned you for a consultation to discuss their options. What suggestion do you have for the doctors to reduce their off-site storage costs?
Dr. Good wants to help his patients be healthy. In the past, he has allowed them to comeinto the office for free healthcare screenings and tests. He now has the opportunity toprovide free full-body CT scans and full gene mapping. The CT scan would normally costabout $4,000 and the gene mapping about $10,000. He is not certain whether he shouldoffer these new services. Most of the preventive tests and immunizations that headministered in the past were inexpensive but produced significant benefits. He thinks manyof his patients would take advantage of the new tests, but is it the right thing to do?Discussion Questions 1. How is this an example of diminishing returns in healthcare?
What would be the impact on profitability of processing Product B further, rather than selling product B at the intermediate stage? O increase in profitability of $24,000 Increase in profitability of $10,000 Decrease in profitability of $5,000 Decrease in profitability of $15,000 None of the above 2nd question solve plz
As a potential owner of a club known as Club Salida, you are interested in determining the necessary volume of sales in dollars to reach the breakeven next year. You decided to break down the club's sales into. four categories, where beer is the first. Your estimate of the sale of beer is that it will serve 30,000 servings. The selling price per unit will average $ 1.50; its cost is $ .75. The second category is food, of which you expect sell 10,000 units with an average unit price of $ 10.00 and a cost of $ 5.00. The third category is desserts and wine, of which you also hope to sell 10,000 units, but with an average unit price of $ 2.50 and a cost of $ 1.00. The last category is inexpensive lunches and sandwiches, of which you expect sell a total of 20,000 units with an average price of $ 6.75 and a cost per unit of $ 3.25. Your fixed costs (i.e. rent, utilities, etc.) are $ 1,800 a month plus $ 2,000 a month for entertainment. a) What is your breakeven point in dollars per month? b)…
Tinker's 2020 cost of goods sold was $750,000 and 2019 cost of goods sold was $770,000. The inventory at the end of 2020 was $188,000 and $208,000 at the end of 2019. What was Tinker's inventory turnover during 2020? Group of answer choices A)3.79 b)3.99 C)3.84 D)3.89 E)None of the above
5) Your t-shirt company currently uses a manual printing system to put designs on blank shirts (all equipment is paid for). The cost of goods sold is $8 and the retail price for the shirts is $25. You currently print 11,000 shirts/year with this equipment and that is the maximum capacity. You are considering investing in new equipment. You came across a semi-automated printing system for $30,000, plus you'll need to spend $5,000 for the electrician to update wiring and connect the equipment. To break even in one year, how many (total) shirts would you need to print next year?
Corral Cartage leases trucks to service its shipping contracts. Larger trucks have cheaper operating costs if there is sufficient business, but are more expensive if they are not full. CC has estimates of monthly shipping demand. What comparison method(s) would be appropriate for choosing which trucks to lease? 1.Present Worth(PW) 2.Annual Worth(AW) 3.Payback Period

SEE MORE QUESTIONS

Recommended textbooks for you

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Operations Management

ISBN:

9781259667473

Author:

William J Stevenson

Publisher:

McGraw-Hill Education

Operations and Supply Chain Management (Mcgraw-hi…

Operations Management

ISBN:

9781259666100

Author:

F. Robert Jacobs, Richard B Chase

Publisher:

McGraw-Hill Education

Business in Action

Operations Management

ISBN:

9780135198100

Author:

BOVEE

Publisher:

PEARSON CO

Purchasing and Supply Chain Management

Operations Management

ISBN:

9781285869681

Author:

Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:

Cengage Learning

Production and Operations Analysis, Seventh Editi…

Operations Management

ISBN:

9781478623069

Author:

Steven Nahmias, Tava Lennon Olsen

Publisher:

Waveland Press, Inc.

SEE MORE TEXTBOOKS