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    Small Business

    Question

    Determine the inn's break-even point in (1) number of rented rooms per month and (2) dollars.?
    1) The San Marcos Inn is trying to determine its break-even point. The inn has 50 rooms that are rented at $60 per night. Operating costs are as follows: Salaries $7,342 per month Utilities 1,573 per month Depreciation 1,049 per month Maintenance 524 per month Maid Service 7.20 per room Other Costs 28.80 per room Determine the inn's break-even point in (1) number of rented rooms per month and (2) dollars.
    8 months ago No Answers

    Best Answer

    Chosen by Asker
    The fixed costs are $10,488 and of the $60 a night, $36 are associated expenses. Thus the $24 remaining dollars divided into the $10,488 is 437 room rentals/night and the dollar amount is $26,220.
    a few seconds ago

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