Problem: Prepare a Break-even analysis for Admission sales, food and drink services
Admission sales will be $10.00 per person, the liquor bottles will be from $150.00 to $350.00 the drinks will be $11.00, beers will be $5.00 and everything from the menu will be $6.00
Weekly expenses
Fixed Costs: Salaries: $56,760
Bills: (water, electricity, gas, and trash) $1,200
Promotions: $2,500
Cabaret show: $1,200
Insurance premium: $1,500
Property taxes: $15,000 per year (whole building)
Rent: 0 the owner of the club owns the building where the club will be located.
Variable Costs:
Food/beverages $10,000
Live bands from Mexico $3,000 to $7,000 in some cases less
Contests (prizes) $200 weekly, $1,000 every 3 months if there are enough participants
Sales commissions: Waiters and waitresses will me making $15.00 for every liquor bottle sold.