1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
andreev551 [17]
3 years ago
11

A Best Eastern Motel is a regional motel chain. Its rooms rent for $90 per night, on average. The variable cost is $40 a room pe

r night. Fixed costs are $1,200,000 per year. What is the breakeven point?
Business
2 answers:
Ugo [173]3 years ago
8 0

Answer:

$2,160,000

Explanation:

For calculating break even point the following formulae is used:

Fixed Cost / {(Sales price per night - Variable cost per night) / Sales price per night}

Here Sales price is average room rent of $90

Variable cost is $40

While Fixed Cost is 1,200,000.

Calculation would be as follows:

1,200,000 / {(90 - 40) / 90} = $2,160,000

This means that Best Eastern Motel needs to make Sales (in this case Rent Rooms) worth $2,160,000 for the whole year to reach break even point.

alexdok [17]3 years ago
3 0

Answer:

The break even point in units is 24000 rooms per year.

Explanation:

The break even point in units is a point where enough units are sold to earn a revenue that covers the total cost of the business and there is neither a profit nor a loss to the business. The break even point in units can be calculated as follows,

Break even in units = Fixed cost / Contribution margin per unit

Where,

Contribution margin per unit = Selling price per unit - Variable cost per unit

So,

Contribution margin per unit = 90 - 40 = $50

Break even in units = 1200000 / 50    =  24000 units

You might be interested in
One study estimates that if India used the human and physical capital that it does have as efficiently as the United States uses
Vlad [161]

Answer:

The correct option is: Competitive and open markets as an institution.

Explanation:

The United States has managed to enhance the country's human capital by opening new markets and providing job opportunities to many people.

Similarly, India needs to create new marketing policies where people are encouraged to prepare, to be more competitive and to work hard to achieve a better socioeconomic development of the country.

India needs to know the market and enhance the formation of human capital.

6 0
3 years ago
Although e-mail has replaced paper memos for many messages inside organizations and for some letters to external audiences, hard
prohojiy [21]

Answer: True.

Explanation:

With the rise in the use of email to communicate during a business transaction, the hard-copy message still has a higher value than the emails: this is because hard copy messages can easily be kept for reference purposes and also they most times bear the stamp and signature of the person(s) transacting the business.

7 0
3 years ago
Over dinner, Ross complained about how prices have increased a great deal over the past year. Brenda disagrees, saying that the
Xelga [282]

Answer:

CPI  

Explanation: CPI measures the average changes in prices overtimes that consumers pay for a basket of goods and services commonly known as inflation. It attempts to qualify the aggregate price level in an economy and thus measure the purchasing power of the country's unit of currency. The weighted average of the prices of goods and services that approximates an individual's consumption pattern is used to calculate the CPI.  

CPI is used as an economic indicator.  

It is more used to measure inflation.

CPI covers professionals, self-employed, poor, unemployed and retired person  

Two care reported each time CPI-W and CPI-U

4 0
2 years ago
F a taxpayer offers you a $20 bill because they were so happy about the quality service they received, what would be the appropr
BlackZzzverrR [31]
The appropriate action would be: C. <span>Thank the taxpayer, and explain that you cannot accept any payment for your services.
Government workers couldn't receive cash payment in any kind unless there is a necessary administrative purpose. 
They could on the other hand, receives Gifts that held the value less than $ 20</span>
6 0
3 years ago
Read 2 more answers
What is wrong with Brainly? People (or maybe even bots) keep posting a link to download a file to get the description/answer. I
lukranit [14]

Answer:

exactly!! i asked a question and one person responded with some link saying they put the answer on there. i think people just want points or something:

7 0
3 years ago
Read 2 more answers
Other questions:
  • Michael has a credit limit and a balance of $3,000 on his Visa card. His car broke down, he charged the $500 repairs to his Visa
    15·1 answer
  • What is a realistic goal?
    7·1 answer
  • Shifting from producing 500 scarves and 225 sweaters, to producing 100 scarves and 350 sweaters would
    13·2 answers
  • What will happen to the supply of beef when the price paid for beef cattle drops ?
    14·2 answers
  • Good Earth, a company manufacturing packaged food products, sets up its stores in Baltonia. However, a year later, the company c
    5·1 answer
  • Olamide is a manager at a catering company, organizing an upcoming wedding. she will need to allocate a portion of her staff to
    9·1 answer
  • Which of the following statements concerning a bank savings account is false? a. Deposits are insured for at least $100,000. b.
    9·1 answer
  • Help will give Brainly points
    15·1 answer
  • Goods or services from the U.S. can be
    14·1 answer
  • What kind of warranty is often offered not through the manufacturer but instead through a third party? a. manufacturer’s warrant
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!