Flight (To and From) Cost per person Number of People Total Cost
Heathrow (LHR) to Sydney (SYD) $5,788 4 $23,152
Canberra (CBR) to Hobart (HBA) $205 5 $1,025 Hobart (HBA) to Melbourne (MEL) $133 5 $665 Adelaide (ADL) to Perth (PER) $205 5 $1,025 Perth (PER) to Ayers Rock (AYQ) $539 5 $2,695 Ayers Rock (AYQ) to Cairns (CNS) $619 5 $3,095 Cairns (CNS) to Brisbane (BNE) $190 5 $950 Sydney (SYD) to Heathrow (LHR) $6,934 4 $27,736 Total Cost $60,343 Airfares Hotel Location Rooms Star rating Cost per night for 5 people Night/s Total Meriton Serviced Apartments Bondi Junction, Sydney 2 5 $426 1 $426 Brighton Hotel motel Brighton, Hobart 2 4 $220 1 $220 Quality Inn Toorak Manor South Yarra, Melbourne 2 4 $230 1 $230 Adelaide Central YHA CBD, Adelaide 2 4 $183 2 $366 Alice On Todd Apartments Alice Springs 2 4 $531 1 $531 Cairns New Chalon Woree, Cairns 2 4 $288 2 $576 Central West End Apartments South Brisbane, Brisbane 2 4 $298 1 $298 Mecure Charlestown Charlestown, Newcastle 2 4 $248 1 $248 Dlux Hostel Potts Point, Sydney 2 4 $220 1 $220 Total Cost $3,115 Accomodation Activity Location Cost Per Person Number of people Total Cost Luna Park Sydney $40 5 $200 Hot Air Ballooning Melbourne $290 5 $1,450 Jet Boat Ride Perth $10 5 $50 Uluru Tour Ayers Rock $158 5 $790 Great Barrier Reef Cairns $229.60 5 $1,148 Horse Riding Newcastle $110 5 $550 Total Cost $4,188 Activities Destination Hire cost per car Number of cars Total Sydney to Canberra $273.63 2 $547.26 Hobart $87.14 2 $174.28 Melbourne to Adelaide $947.75 2 $1,895.50 Perth $126.35 2 $252.70 Ayer's Rock $106.14 2 $212.28 Cairns $209.99 2 $419.98 Brisbane to Sydney $728.13 2 $1,456.26 Total Cost $4,958.26 Car Hire Tickets sold per venue Cost per Ticket Number of venues Total income 600 $60 8 $288,000 Item Item Sold Profit Venues Total profit T-shirt 100 $18 8 $14,400 CD 75 $15 8 $9,000 Item Items sold Buying Price Selling price Profit Number of Venues Total profits Poster 120 $15 $20 $5 8 $4,800 Hat 50 $10 $14 $4 8 $1,600 Bag 40 $13 $17 $4 8 $1,120 Total Income $311,400 Income Manager's wages $6,000 Insurance $10,000 Equipment transport $8,000 Road Crew $8,000 Band Allowance $8,000 Miscellaneous expenses $1,000 Venues and promoters $72,000 Accomodation $3,115 Activites $4,188 Airfares $60,343 Meal $7,000 Car hire $4,958.26 Total Expeses $192,604 Expenses Manager's wages Insurance Equipment transport Road Crew Band Allowance Miscellaneous expenses Venues and promoters Accomodation Activites Airfares Accomodation $3,115 Activity $4,188 Airfares $60,343 Expenses $124,958.26 Income $311,400 Total Profit $118,795.74 Summary Summary Manager's wages Insurance Equipment transport Road Crew Band Allowance Miscellaneous expenses Venues and promoters Accomodation Activites Airfares Meal Car hire Questions 1. How many tickets, CDs, T-shirts and other merchandise items need to be sold to cover expenses and earn the band a $50,000 profit? 2. What if ticket sales are slow and the band spends an extra $12,000 on promotion? How many extra tickets at each venue will need to be sold? 3. What if the bands percentage of ticket takings was reduced from 75% to 65%? How would this affect the number of ticket sales needed to cover expenses or the bands profit? 4. Calculate the average daily cost for the tour. How would profits be affected if there was an unexpected 2 day delay travelling to Uluru? Answers 1. 0 because I already have $50 000 profit 2 75% of tickets is $60*3/4=45 12000/45/8=33.33 therefore around 33 extra tickets would need to be sold at each venue. 3. The number of tickets $60*65% = $39 $12000/$39/8 = 38.46 There would be no need to have an increase of ticket sales but the band's profit will go down. 4. 14 days = $192604 Average is $192604/14 $192604/14 = $13,757.42857 Average daily cost for the tour would be around $13,757. In this case, the band is going to miss seeing Uluru and go straight to Cairns from Perth. So from Perth to Cairns it is $615.29 per person therefore the total cost would be $3076.45. There would be a decrease in profit of at least $3076.45 because the bookings from Cairns would remain the same. 3. What if the bands percentage of ticket takings was reduced from 75% to 65%? How would this affect the number of ticket sales needed to cover expenses or the bands profit?