how to calculate the variable cost of renting rooms in a cafe?
how to calculate the variable cost of renting rooms in a cafe?
Homework Answers
variable costs refer to the cost that is incremental in nature or the one that increases with the increase in consumption. For calculating the variable cost of a cafe first analyze the occupancy rate in that area per square feet. Other costs might include water consumption, phone charges, electricity charges that will vary on the units consumed on the monthly basis.
So if you are planning to rent a room in the cafe you can either decide the fixed cost per month of that room or multiply the per square feet rate you are willing to charge by the number of square feet. Then, add the other variables like water, gas, electricity, telephone charges on a monthly basis.
If you are also providing other facilities like servants, helpers, staff, and other variables. The number of staff must be multiplied by the per month salary given.
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A hotel wishes is to analyze its electricity cost and its rooms department in terms of...
A
hotel wishes is to analyze its electricity cost and its rooms
department in terms of fixed and variable elements. Monthly income
statements show that during its busiest and slowest months, cost
and rooms occupied information is as follows:
--------> room cost rooms sold
busiest $4,080 2,800
slowest 3,100 1,400
P7.8 A hotel wishes to ar terms of fixed and va that during its busiest shes to analyze its electricity cost in its rooms department in ved and variable elements....
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A
hotel wishes is to analyze its electricity cost and its rooms
department in terms of fixed and variable elements. Monthly income
statements show that during its busiest and slowest months, cost
and rooms occupied information is as follows:
--------> room cost rooms sold
busiest $4,080 2,800
slowest 3,100 1,400
P7.8 A hotel wishes to ar terms of fixed and va that during its busiest shes to analyze its electricity cost in its rooms department in ved and variable elements....
please help
Best Eastern Motel is a regional motel chain. Its rooms rent for $120 per night. The cost is $60 a room with fixed costs of $480,000. a) Determine the revenue R from renting x rooms b) Determine the cost C of renting x rooms c) Determine the profit P of renting x rooms d) Determine the break-even point and Comment e) Graph R and C together and label the break-even point. Label the fixed costs on the graph....
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