You manage a motel of 100 rooms. Below is the information of the direct costs budget of the rooms department. You budget an average room rate of $70 on a 76% occupancy rate. The budgeted variable cost per room is $8. The budgeted total fixed cost is $48,000 per month. Assume 30 days a month. What will be the monthly budgeted contributory income of the rooms department? 138000 933600 4600 None of above

You manage a motel of 100 rooms. Below is the information of the direct costs budget of the rooms department. You budget an average room rate of $70 on a 76% occupancy rate. The budgeted variable cost per room is $8. The budgeted total fixed cost is $48,000 per month. Assume 30 days a month. What will be the monthly budgeted contributory income of the rooms department? 138000 933600 4600 None of above

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 15EB: Judges Gavel uses this information when preparing their flexible budget: direct materials of $3 per...

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Cold X, Inc. uses this information when preparing their flexible budget: direct materials of $2 per unit, direct labor of $3 per unit, and manufacturing overhead of $1 per unit. Fixed costs are $35,000. What would be the budgeted amounts for 20,000 and 25,000 units?
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