Take-a-Break Travel Company offers spring break travel packages to college students. Two of its packages, a 7-day, 6-night trip to Cancun and a 5-day, 4-night trip to Jamaica, have the following characteristics: Package Specifications Oceanfront room; number of nights Meals: Breakfasts Lunches Dinners Scuba diving trips Water skiing trips Airfare (round trip from Miami) Cancun Jamaica 4 Cost Data $57/night 6 4 $11/ea 5 $16/ea 4 $26/ea 2 $76/ea 2 $51/ea 1 $320 (Cancun), $500 (Jamaica) 1 1 $24 (Cancun), Transportation to and from airport $44 (Jamaica) The Cancun trip sells for $1,760, and the Jamaica trip sells for $1,520, and both packages allow two bags to be checked for free. Required: 1. What are the current profit margins on both trips? 2. Take-a-Break's management believes that it must drop the price of each trip by $101 in order to remain competitive in the market. Recalculate profit margins for both packages at these price levels. Complete this question by entering your answers in the tabs below. Required 1 Required 2

Take-a-Break Travel Company offers spring break travel packages to college students. Two of its packages, a 7-day, 6-night trip to Cancun and a 5-day, 4-night trip to Jamaica, have the following characteristics: Package Specifications Oceanfront room; number of nights Meals: Breakfasts Lunches Dinners Scuba diving trips Water skiing trips Airfare (round trip from Miami) Cancun Jamaica 4 Cost Data $57/night 6 4 $11/ea 5 $16/ea 4 $26/ea 2 $76/ea 2 $51/ea 1 $320 (Cancun), $500 (Jamaica) 1 1 $24 (Cancun), Transportation to and from airport $44 (Jamaica) The Cancun trip sells for $1,760, and the Jamaica trip sells for $1,520, and both packages allow two bags to be checked for free. Required: 1. What are the current profit margins on both trips? 2. Take-a-Break's management believes that it must drop the price of each trip by $101 in order to remain competitive in the market. Recalculate profit margins for both packages at these price levels. Complete this question by entering your answers in the tabs below. Required 1 Required 2

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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10. Question Content Area Special-Order Decision, Services, Qualitative Aspects Jason Rogers works full-time for UPS and runs a lawn-mowing service part-time after work during the warm months of April through October. Jason has two men working with him, each of whom is paid $6.00 per lawn mowing. Jason has 25 residential customers who contract with him for once-weekly lawn mowing during the months of May through September, and twice-per-month mowings during April and October. On average, Jason charges $42 per lawn mowed. Recently, LStar Property Management Services asked Jason to mow the lawn at each of its 29 rental houses every two weeks during the months of May through September. LStar has offered to pay $29 per lawn mowing, and would forego the lawn edging that normally takes Jason’s team about half of its regular mowing time. If Jason accepts the job, he can assign a one-man team to mow the rental house yards, and will have to buy an additional power lawn mower for about $370…
Take-a-Break Travel Company offers spring break travel packages to college students. Two of its packages, a 7-day, 6-night trip to Cancun and a 5-day, 4-night trip to Jamaica, have the following characteristics: Package Specifications Oceanfront room; number of nights Meals: Breakfasts Lunches Dinners Scuba diving trips Water skiing trips Transportation to and from airport Airfare (round trip from Miami) Cost Data Cancun 6 Jamaica 4 $ 55/night $ 10/ea 7 6963. 454221 4 1 1 1 $ 15/ea $ 25/ea $ 75/ea $ 50/ea $ 375 (Cancun), $ 550 (Jamaica) $ 25 (Cancun), $ 40 (Jamaica) The Cancun trip sells for $1,750, and the Jamaica trip sells for $1,500, and both packages allow two bags to be checked for free. Required: 1. What are the current profit margins on both trips? 2. Take-a-Break's management believes that it must drop the price of each trip by $100 in order to remain competitive in the market. Recalculate profit margins for both packages at these price levels. Complete this question by…
Restaurant Sales Summary for month of February, 2018. Item Prime Rib Fish n Chips Barbecued Duck Total sold 690 560 350 425 280 Cheese Burger Baked Lasagna Total a. Number of Covers sold per day_ PPOP % S.P. $19.00 $14.00 $11.00 $10.00 $11.00 Revenue b. Cost of average covers - $_ c. Total Revenue in the Restaurant in the month of February 2018 d. Restaurant has 50 seats, what is the restaurant turnover ratio?
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ezto.mheducation.com/ext/map/index.html?_con=con&extern -30 d 1 ok $ int a Print 0 eferences 2 Hoi Chong Transport, Limited, operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 159,000 kilometers during a year, the average operating cost is 12.7 cents per kilometer. If a truck is driven only 106,000 kilometers during a year, the average operating cost increases to 15.8 cents per kilometer. Required: 1. Using the high-low method, estimate the variable operating cost per kilometer and the annual fixed operating cost associated with the fleet of trucks. 2. Express the variable and fixed costs in the form Y = a +bX. 3. If a truck were driven 132,000 kilometers during a year, what total operating cost would you expect to be incurred? Mc Graw Hill (@ 12 2 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Variable cost Fixed cost Using the high-low method, estimate the variable operating cost per…
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OPTION 1: Crestview Country Club a. Fixed rental cost of $1,000 b. $11 per person for food OPTION 2: Tallgrass Country Club a. Fixed rental cost of $3,000 b. A caterer who charges $8.00 per person for food Southwestern College has budgeted $1,800 for administrative and marketing expenses. It plans to hire a band, which will cost another $2,000. Tickets are expected to be $35 per person. Local business supporters will donate any other items required for the event. A) Which option provides the least amount of risk? A) Option one B) Option two C) Both options provide the same amount of risk. D) Neither option has risks. E) Without probability assignments, it is not possible to determine the riskier option. 2B) What is the break-even point in units for each option? A) 96 units and 114 units, respectively B) 120 units and 187 units, respectively C) 56 units and 137 units, respectively D) 200 units and 252 units, respectively E) 156 units and 219 units, respectively C) What is the operating…
Sales Price: $ 500 Costs Frame $ $ $ $ 1,500 Manager salary (monthly) $ 3,000 Assembly (per bike) $ 40 Depreciation (monthly) $ 250 1. Can you determine how many bikes you must sell each month in order to break even (net income of $0)? 2. No one runs a business with the goal of only breaking even. How many bikes would you need to sell each month to earn $5,000 net income? 3. Lastly, you are considering a $10,000 advertising campaign that is expected to result in a one-time increase in sales of 50 bikes. Should you do it? Hint: consider fixed versus variable costs. Seat LBCC Bike Shop Cost Details Tires (each) Rent (monthly) Amount 100 50 10
eBook Question Content Area Analyze Atlantis Cruise Lines Atlantis Cruise Lines offers luxury, one-week cruise packages in the Greek Aegean Sea. The ship has a capacity for 1,200 people. Atlantis averages 1,000 passengers per cruise. The price per passenger is $6,000. Costs associated with a cruise are as follows: Line Item Description Amount Variable costs per cruise: Crew to serve passengers $1,200,000 Food 1,500,000 Amenity and excursion 400,000 Total variable cost per cruise $3,100,000 Fixed costs per cruise: Crew to run ship $1,500,000 Depreciation expense 120,000 Fuel 50,000 Total fixed cost per cruise $1,670,000 Atlantis proposes an early booking program to help increase the number of passengers per cruise. Under the proposed early booking program, the first 300 passengers to book a cruise will receive a $1,500 discount off the normal price for the cruise. Atlantis expects this program to increase the…
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