Break-Even Point in Guests Served

The How Many Guests to Break-Even calculator computes the number of guests needed to break even based on the fixed costs and margin per guest.

INSTRUCTIONS:  Choose units and enter the following:

• (FC) Fixed Costs
• (CMG) Contribution Margin per Guest

Break-Even Point (BEP): The calculator returns the number of guests to break-even.

The Math / Science

How many guests do you need to break even?  The break-even point in guests served (BEP) can be calculated by dividing a company's fixed costs by the company's contribution margin per guest. In accounting, the break-even point refers to the revenues needed to cover a company's total amount of fixed and variable expenses during a specified period of time. The revenues could be stated in dollars (or other currencies), in units, hours of services provided, etc.

Hospitality Calculators

• Average Cost per Room - Average expense per room for a period of time.
• Average Daily Rate - Average daily income rate for rooms rented
• Average Sales per Guest Forecast - Forecast based on total forecast and guest count forecast.
• Break-Even Point in Guests Served - Computes the number of guests needed to break even based on fixed costs and margin per guest.
• Contribution Margin per Guest - Computes the margin per guest based on selling price per guest and variable cost per guest.
• Contribution Marge Percent - Computes the percent of contribution margin based on the Selling Price percent and the Variable Cost percent.
• Cost of Food Consumed - Computes the cost of food based on inventory change and purchases.
• Estimated Room Expenses -  Computes the estimated annual expense of rooms based on the expense per room and number of rooms.
• Food Cost Percent for a Restaurant - Computes the percent of costs associated with food for a restaurant.
• Food Selling Price - Computes selling price based on Item Food Cost and percent allocated to food commodity.
• GOPPAR - Gross Operating Profit Per Available Room - Computes the profit based on the gross profit and the total rooms available.
• Guest Count Forecast - Guest count forecast based on last year's and an expected increase.
• Percent Sales Variance - Computes the percentage of the difference in sales in two periods. 

Resource:

• Dopson, Lea R., and David K. Hayes. Managerial Accounting for the Hospitality Industry. Hoboken, NJ: Wiley, 2009. Print.
• "What Is the Break-even Point? | AccountingCoach." AccountingCoach.com. N.p., n.d. Web. 07 Aug. 2015.