Indoor Dog Park provides three services - daycare (charge $23), overnight boarding (charge $35), and vet checkups (charge $120). Fixed expenses are $18,700 per year for rent and variable costs per service of daycare $10, boarding $21, and vet checkups $70. Generally, it provides services for 12 dogs for daycare, six dogs for boardings, and two dogs for vet checkups each day. Based on the above sales mix, how many of each service does it have to provide to break-even?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Indoor Dog Park provides three services - daycare (charge $23), overnight boarding (charge $35),
and vet checkups (charge $120). Fixed expenses are $18,700 per year for rent and variable costs
per service of daycare $10, boarding $21, and vet checkups $70. Generally, it provides services for
12 dogs for daycare, six dogs for boardings, and two dogs for vet checkups each day. Based on
the above sales mix, how many of each service does it have to provide to break-even?
Transcribed Image Text:Indoor Dog Park provides three services - daycare (charge $23), overnight boarding (charge $35), and vet checkups (charge $120). Fixed expenses are $18,700 per year for rent and variable costs per service of daycare $10, boarding $21, and vet checkups $70. Generally, it provides services for 12 dogs for daycare, six dogs for boardings, and two dogs for vet checkups each day. Based on the above sales mix, how many of each service does it have to provide to break-even?
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