Question

1. Seeing a need for childcare in her community, Sue decided to launch her own daycare...

1. Seeing a need for childcare in her community, Sue decided to launch her own daycare service. Her service needed to be affordable. After doing her homework, Sue came up with the following financial information: Selling Price (per child per day): $12 Operating Expenses (per month): $600 Insurance $400 Rent $200 Costs of goods sold = $4.00 per unit Meals 2 @ $1.50 (breakfast & lunch) Snacks 2 @ $0.50 The month of June has 20 workdays, Monday through Friday for four weeks. How many children will Sue need to take care of (per day) just to break-even in her new business for the month of June? 2. Sue finds that she is drawing 25% less than her break-even point. How do you suggest that she make up the difference. I am looking for data-driven ideas to specifically answer this question to actually quantify how she makes up the 25%.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1. Bic is starting a new division that will be releasing a new pen that will...
1. Bic is starting a new division that will be releasing a new pen that will be sold for $2.00 per unit. Below is the information about this new undertaking: Selling Price: $2.00 Operating Expenses: $60,000 Lease $15,000 Depreciation $5,000 Executive Salaries $30,000 Property Taxes $10,000 Costs of goods sold = $.90 per unit Raw Materials $.20 Labor $.30 Sales Commissions $.40 How many pens will Bic need to make just to break even? 2. Bic finds that she is...
Emma owns an Internet business where she sells weatherproof car floor mats. Her monthly fixed costs...
Emma owns an Internet business where she sells weatherproof car floor mats. Her monthly fixed costs are $40,000. The average price per unit is $25 and the average variable cost per unit is $15. What is her break-even point? Remember that your answer will be in “units,” not “dollars,” as you are finding the number of items that need to be sold in order to break even. Andrew rents rooms in his hotel for an average of $92 per night....
Pratt/Julian Barbeque is a small restaruant in Columbia, Missouri. They employ four part time employees earning...
Pratt/Julian Barbeque is a small restaruant in Columbia, Missouri. They employ four part time employees earning $48 each per day. Their employees are paid every Friday and the financial statements of the business are prepared at the end of each month. The business is only open Monday through Friday to serve the nearby factory workers during their lunch breaks. This year June 30 fell on a Thursday and the financial statements were prepared as normal. Would Pratt/Julian need to prepare...
Case Study: Monica’s Handbags Monica, after completing an internship with a national apparel company, decided that...
Case Study: Monica’s Handbags Monica, after completing an internship with a national apparel company, decided that she wanted to exercise her creative design talents and her strong entrepreneurial spirit by starting her own fashion business. She conducted fundamental market research and determined that there is an unfulfilled market need for the moderate fashion handbags that she had designed at the $100 retail price point. She also learned that the independent women’s apparel stores she was targeting require a 50% retail...
Sally Jones, 75-year old Hispanic female, is brought to the ER by her daughter with complaints...
Sally Jones, 75-year old Hispanic female, is brought to the ER by her daughter with complaints of 3lb weight gain in a day, increase SOB (shortness of breath), swelling in her bilaterally lower extremities, and elevated BP. Her daughter stated she was coughing up a pink frothy sputum. She has a history of Heart Failure, CAD, MI 2 years ago, diabetes Type II, gout, HTN, Alzheimer’s Dementia, and COPD. She is 5’6” and weighs 210lbs. Sally is awake, alert, and...
As an executive at diversified mail order retailer Avian Group, Ruth Owades saw opportunity. Choosy gardeners...
As an executive at diversified mail order retailer Avian Group, Ruth Owades saw opportunity. Choosy gardeners did not have easy access to premium specialty gardening equipment. But these amateur horticulturalists could be profitable, easily reached, and extremely loyal if well served. She proposed the business to Avion, but they had no interest. Her next step was to ask them if she could take the idea and develop it on her own. Surprisingly, they agreed. Ruth had not worked outside the...
Q1. Dr.Aleda Roth, a prolific author, is considering starting her own publishing company. She will call...
Q1. Dr.Aleda Roth, a prolific author, is considering starting her own publishing company. She will call it DSI Publishing, Inc. DSI’s estimated costs are as follows: Fixed cost per year= $250,000; variable cost per book = $20; selling price per book = $30. In addition to those costs, Dr.Roth wants to pay herself a salary of $50,000 per year. 1) How many books must DSI sell to break even? A. 15,000 B. 25,000 C. 30,000 D. 125,000 Answer:_________ 2) What...
I quit social media for 1 month -- it was the best choice I ever made...
I quit social media for 1 month -- it was the best choice I ever made I quit social media for a month. So, I quit Facebook, Instagram, Snapchat, and Twitter. I just needed a break. It was time to cut myself off I stopped using social media this morning and my brain is going crazy. I just realised how often I glance down just to see if I have a notification. When I wake up in the morning, on...
Post-Closing Trial Balance December 31, 2018 Debit Credit Cash      18,200 Accounts receivable        3,960 Supplies        1,380
Post-Closing Trial Balance December 31, 2018 Debit Credit Cash      18,200 Accounts receivable        3,960 Supplies        1,380 Prepaid insurance           750 Prepaid rent        3,800 Furniture        5,000 Accumulated depreciation, furniture           450 Equipment        8,000 Accumulated depreciation, equipment        4,000 Accounts payable        2,700 Accrued liabilities           190 Unearned service revenue        1,900 Common shares      20,000 Retained earnings      11,850 Total      41,090      41,090 PREPARE JOURNAL ENTRIES (+ADJUSTING ONES IF NEEDED) Business Activities for January, 2019 On January 4, 2019, Linda paid the outstanding accounts payable balance from December 31, 2018. On...
Sunshine Enterprises Case Study “I think the waiter wrote in an extra $25 tip on my...
Sunshine Enterprises Case Study “I think the waiter wrote in an extra $25 tip on my Sunshine Café bill after I received and signed my credit card receipt,” Mr. Mark Otter said to the restaurant manager, Brad Gladiolus. “Mr. Otter, mail me a copy of the restaurant receipt and I’ll investigate,” responded Mr. Gladiolus. “I don’t have the receipt—I lost it—but I have my monthly credit card statement,” replied Mr. Otter. Mr. Gladiolus hesitated, then said, “Mr. Otter, I don’t...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT