Fee Sitting

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Fee Setting

Calculating Fixed Costs, Variable Costs, and Break-Even Point for a Program Proposed Seminar Budget
1. Conference room rental $175.00 $ 175.00 2. Audiovisual equipment Rental $75.00 3. 4 presenters @ $500 $2,000.00 4. 45 workbooks @ $15 $675.00 5. 45 lunches @ $12 $540.00 6. 45 coffees @ $3.50 $158.00 Subtotal $3,623.00 7. Indirect costs @ 25% of $3,675.00 $ 906.00 Subtotal $4,529.00 8. Profit margin @ 5% of $4,594.00 $ 227.00 Total $4,756.00

Fixed Costs
1. Conference room rental $ 175.00 $175.00 2. Audiovisual equipment Rental $75.00 $75.00 3. 4 Presenters @ $500 $2000.00 4. Indirect costs A@ 25% of $ 3.675.00 $906.00 5. Profit Margin @ 5% of $ 4,594.00 $227.00 Total Fixed Costs $3,383.00

Variable Costs
6. 45 Workbooks @ $15 $15.00 7. 45 Lunches @ $12 $12.00 8. 45 Coffees @ 3.50 $3.50 Total Variable Costs $ 30.50 I have chosen to set my breakeven point and go/no go decision at 30 participants. Using Thirty Trainees as the Break-Even Point

XP = A + BX
30P = $3,383.00 + 30.50 (30)
30P = $3,383.00 + $915
30P = $4298
30P/30 = $4298/30
P = $143.27
The fee will be $143.27 per person for the training session. The fee is within the range that is in the community. I choose to no go at this point in time because I would need 33 participants to make any type of profit on this training. With the total budget being $4,756.00/30 = 158.53 and $ 143.27 * 30 = $4298.10 I would not even break even if 30 participants came to the training.

11.2

Proposed Seminar Budget
1. Conference room rental $175.00 $ 175.00 2. Audiovisual equipment Rental $75.00 3. 4 presenters @ $500 $2,000.00 4. 45 workbooks @ $15 $675.00 5. 45 lunches @ $12 $540.00 6. 45 coffees @ $3.50 $158.00 Subtotal $3,623.00

7. Indirect costs @ 25% of $3,675.00 $ 906.00 Total $4,529.00 Variable Costs
6.45 Workbooks @ $15 $15.00 7.45 Lunches @ $12 $12.00 8.45 Coffees @ 3.50...
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