El Jardin Entertainment offers theater packages at 42 per unit. The package includes snacks, beverages and a ticket. The costs incurred by the program are as follows:
Variable Costs 24 per package
Fixed Expenses 16200 Do not enter dollar signs or commas in the input boxes.
a) Calculate the contribution margin per package.
Round your answer to 2 decimal places
Contribution margin per package: Answer
b) Determine the break-even point in units (packages)
Round your answer up to the nearest whole number.
Break-even point: Answer
c) If the theater can accommodate only 600 individuals, how much should El Jardin Entertainment charge per package to break-even? Assume that variable and fixed costs remain the same.
Round your answer to 2 decimal places
Selling Price: Answer
d) Using the information from part (c), how much should El Jardin charge per package if they want to have an operating income of 1200?
Round your answer to 2 decimal places
Selling Price: Answer
