Al Khoud Airlines is planning to introduce a new flight service between Khasab in Musandam Governorate and Salalah in Dhofar Governorate. The following budgeted costing and pricing data are available:

Ticket Price A	OMR88	Ticket Price B	OMR188
Variable Cost for Price A	OMR54	Variable Cost for Price B	OMR58
Targeted Sold Seats for Price A:		Targeted Sold Seats for Price B:
- Business	80	- Business	100
- Tourism	160	- Tourism	40
Fuel Costs (Fixed)	27,400	Other Fixed Costs	138,000

The Company assumes that:

• Tourism travelers would normally start their travel during one week, spend at least one weekend at their destination and return the following week or thereafter;
• Business travelers usually start and complete their travel within the same work week. They do not stay over weekends.

.

a)Explain with proper numerical justifications whether Al Khoud Airlines could charge different prices (10 marks) of either Price A or Price B to business travelers and tourism travelers.

b) What would be the logical assumptions in supporting your calculations in (a) above? (5 marks)

c) Suggest at least TWO measures for each dimension in assessing Al Khouds performance using (10 marks) the Balance Score Card approach.