The university golf shop desires to make $10,000 profits for the next period. The management calculated the shop’s CMRw as 50.00% and the total fixed cost as $110,000. What is the total revenue that needs to be generated at the desired profit level by the management of the university golf shop for the next period?
Read DetailsChicken Marsala is one of the dinner menu items in Kelsey’s Home Made Food restaurant. This item has 22.00% sales mix. Also, this menu item has $11.75 contribution margin to the entire menu that has an average contribution margin of $8.00. If there are five menu items in the Kelsey’s dinner menu, how can you classify Chicken Marsala in Kelsey’s Home Made Food restaurant menu?
Read DetailsDuring the first quarter of the previous year, the current ratio at the Blue Hotel was 1.25 to 1.00. Three months into the New year, the recent current ratio is 2.00 to 1.00. Which of the following best explains the Blue Hotel’s current ratio trend into the New Year?
Read DetailsHome Sweet Home, a 50-room hotel, currently operates at 52.00% occupancy. Total rooms revenue generated from the room sales is $15,600 with a marginal cost of $90.00 per room. The management is considering discounting the rack rate by 15.00% so that they can increase the occupancy. What equivalent occupancy percentage must be achieved to maintain the same levels of total room contribution margin level per room with the discount in the rack rate (assume that marginal cost will remain the same for the discount situation)?
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