Management Accounting Cost analysis and determining the Break even point and Selling Price of an event package
Research, cost and price a package for an event. The package is for the executive team of a company based in London. A detailed cost analysis should be prepared. The B/E point and the selling price should be determined of the package
Section 1: Introduction page 1
Section2: The Package. page 2 2.1 Calculations and Tables page 3
Section 3: The Breakeven Point and the Selling Price of the Package page 5 3.1What is breakeven point? page 5 3.2 How is the selling price determined page 5 3.3 The Breakeven point and the selling prices page 7
Section 4: Conclusion page 13
Section 5: Recommendations page 13
References page 14
Section 1: Introduction I have applied for the job of trainee manager in a specialist tour operator. The post requires the ability to research, cost and price specialist packages.
I have been asked to demonstrate my ability in carrying out such assignments. I am required to prepare a package for an event. The event is a fashion show in Paris; the package is for the executive team of 15 people of a company based in London. I have to prepare a detailed cost analysis for a 2 day package that includes flight costs, accommodation, and transfer from the airport to the hotel and back to the airport. The Break Even point and the selling price of the package are also determined in this assignment assuming that the operator requires a 35% mark up and expects the load factor to be: approx 50%, 60%, 70%, 80% and 90%.
Section 2: The Package
The package for the executive team on London consists out of 15 people they will be flying with a private jet...