Mandalay Hotel bases its budgets on guest-days. The hotel’s…
Mandalay Hotel bases its budgets on guest-days. The hotel’s static budget for August appears below: Budgeted number of guest-days 4,300 Budgeted variable costs: Supplies (@$9.60 per guest-day) $41,280 Laundry (@$9.40 per guest-day) $40,420 Total variable cost $81,700 Budgeted fixed costs: Wages and salaries $57,190 Occupancy costs $52,030 Total fixed cost $109,220 Total cost $190,920 The total fixed cost at the activity level of 5,500 guest-days per month should be (PLEASE SHOW YOUR WORK BY USING THE HONORLOCK ON-SCREEN CALCULATOR):