Scribd Logo
Upload

Welcome to Scribd!

  • Activity For Capacity Planning

    Uploaded by

    loving you
    8 views1 page
    This document analyzes the capacity planning for an activity that sells tickets with dinner, drinks, and parking. It calculates the variable costs, sales prices, estimated sales quantities and revenues for each item. It then determines the break-even point for the activity is PHP 62,724 based on these factors. However, the estimated total revenue of PHP 53,130 for 10 performances will not be enough to reach the break-even point.

    Original Description:

    activity

    Original Title

    ACTIVITY_FOR_CAPACITY_PLANNING.docx

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Report this Document
    This document analyzes the capacity planning for an activity that sells tickets with dinner, drinks, and parking. It calculates the variable costs, sales prices, estimated sales quantities and revenues for each item. It then determines the break-even point for the activity is PHP 62,724 based on these factors. However, the estimated total revenue of PHP 53,130 for 10 performances will not be enough to reach the break-even point.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    8 views1 page

    Activity For Capacity Planning

    Uploaded by

    loving you
    This document analyzes the capacity planning for an activity that sells tickets with dinner, drinks, and parking. It calculates the variable costs, sales prices, estimated sales quantities and revenues for each item. It then determines the break-even point for the activity is PHP 62,724 based on these factors. However, the estimated total revenue of PHP 53,130 for 10 performances will not be enough to reach the break-even point.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    of 1

    ACTIVITY FOR CAPACITY PLANNING

    Item Selling Variable Vi


    1−
    Vi
    Estimated
    Quantity of Peso
    % of
    Sales (1− ViPi ) x Wi
    Price Cost Pi Pi Sales Units Sales (Wi)
    Tickets with
    dinner P22.50 P10.50 0.467 0.533 175 P3,938 0.741 0.395

    Drinks 5.00 P1.75 0.350 0.650 175 875 0.165 0.107

    Parking 5.00 P2.00 0.400 0.600 100 500 0.094 0.056

    450 P5,313 1.000 0.558

    F
    (10 x 2,500 ) +10,000 35,000
    BEP Php = Vi = = = P62,724
    (
    Σ[ 1−
    Pi
    xWi]) 0.558 0.55 8

    Revenue for the 10 performances = (10 x 5,313) = P53,130

    b. What can you say about the results?

    Sales shows a break-even of P62,724. Thus, given this mix of costs, sales, and capacity John
    determines that the theater will not break-even.

    This study source was downloaded by 100000807115340 from CourseHero.com on 05-11-2022 07:56:29 GMT -05:00

    https://www.coursehero.com/file/144745887/ACTIVITY-FOR-CAPACITY-PLANNINGdocx/
    Powered by TCPDF (www.tcpdf.org)

    You might also like