The Serenity Org. is planning its annual Riverboat Extravaganza. The Extravaganza committee has assembled the following expected costs for the event: Dinner per person P 70; Programs and souvenir per person 30; Orchestra 15,000; Tickets and advertising 7,000; Riverboat rental 48,000; Floor show and strolling entertainment 10,000. The committee members would like to charge P300 per person for the evening’s activities. Assume that only 250 persons are expected to attend the extravaganza, what ticket price must be charged to breakeven?
The Serenity Org. is planning its annual Riverboat Extravaganza. The Extravaganza committee has assembled the following expected costs for the event: Dinner per person P 70; Programs and souvenir per person 30; Orchestra 15,000; Tickets and advertising 7,000; Riverboat rental 48,000; Floor show and strolling entertainment 10,000. The committee members would like to charge P300 per person for the evening’s activities. Assume that only 250 persons are expected to attend the extravaganza, what ticket price must be charged to breakeven?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Serenity Org. is planning its annual Riverboat Extravaganza. The
Extravaganza committee has assembled the following expected costs for the event: Dinner per person P 70; Programs and souvenir per person 30; Orchestra 15,000; Tickets and advertising 7,000; Riverboat rental 48,000; Floor show and strolling entertainment 10,000. The committee members would like to charge P300 per person for the evening’s activities. Assume that only 250 persons are expected to attend the extravaganza, what ticket price must be charged to breakeven?
A. P420
B. P350
C. P320
D. P390
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