The National Symphony is preparing for its annual appreciation dinner The National Symphony is…

The National Symphony is preparing for its annual appreciation dinner

The National Symphony is preparing for its annual appreciation dinner for contributing members. Last year, 500 members attended the dinner. Tickets for the dinner were $20 per attendee. Last year’s statement of comprehensive income was as follows:

Ticket sales………………………….$ 10,000

Cost of dinner…………………………11,000

Gross margin………………………….(1,000)

Invitations and paperwork……………..3,000

Profit (loss)………………………….$(4,000)

This year the dinner committee does not want to lose money on the dinner. To help achieve its goal, the committee analyzed last year’s costs. Of the $11,000 total cost of the dinner, it was determined that $6,000 were fixed costs and $5,000 were variable costs. Of the $3,000 for invitations and paperwork, $2,500 were fixed and $500 were variable.

Required

1. Prepare last year’s profit report using the contribution-margin format.

2. The committee is considering expanding this year’s dinner invitation to include volunteer members (in addition to contributing members). If the committee expects attendance to double, calculate the effect this will have on the profitability of the dinner.

The National Symphony is preparing for its annual appreciation dinner

 

Do you need a similar assignment done for you from scratch? We have qualified writers to help you. We assure you an A+ quality paper that is free from plagiarism. Order now for an Amazing Discount!
Use Discount Code “Newclient” for a 15% Discount!

NB: We do not resell papers. Upon ordering, we do an original paper exclusively for you.

The post The National Symphony is preparing for its annual appreciation dinner The National Symphony is… appeared first on Affordable Nursing Writers.