Joyful Journeys Music School provides private music lessons for elementary students. Its operating costs are as follows: Rent on facilities $2,200 per month Advertising $274 per month Instrument Rent $750 per month Teaching Instruction $40 per student Books $5 per student Other Costs $3 per student Joyful Journeys charges $100 per student per month. Determine the company’s break-even point in (1) number of students taught per month and (2) dollars. (1) Break even in number of students taught per month 62 (2) Break even in dollars $6,200 Joyful Journeys has just received notice that the rent on their facilities will be increasing by $500 per month and the instrument rent will also be increasing $20 per month. (1) Determine the company’s break-even point in the number of students taught per month based on the new information. (2) Determine the amount to charge per student assuming that Joyful Journeys does not increase the number of students taught. If Joyful Journeys does not want to increase their fees, how many additional students will they need to attract? (1) Break even in number of students taught pe
Joyful Journeys Music School provides private music lessons for elementary students. Its operating costs are as follows:
| Rent on facilities | $2,200 | per month | |
| Advertising | $274 | per month | |
| Instrument Rent | $750 | per month | |
| Teaching Instruction | $40 | per student | |
| Books | $5 | per student | |
| Other Costs | $3 | per student |
Joyful Journeys charges $100 per student per month.
Determine the company’s break-even point in (1) number of students taught per month and (2) dollars.
|
(1)
|
Break even in number of students taught per month
|
62 | |||
|---|---|---|---|---|---|
|
(2)
|
Break even in dollars
|
$6,200 |
Joyful Journeys has just received notice that the rent on their facilities will be increasing by $500 per month and the instrument rent will also be increasing $20 per month. (1) Determine the company’s break-even point in the number of students taught per month based on the new information. (2) Determine the amount to charge per student assuming that Joyful Journeys does not increase the number of students taught. If Joyful Journeys does not want to increase their fees, how many additional students will they need to attract?
$enter a dollar amount rounded to 2 decimal places
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