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Analyze Global Air's cost-volume-profit relationships Global Air is considering a new flight between Atlanta and Los Angeles. The average fare per seat for the night

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Analyze Global Air's cost-volume-profit relationships Global Air is considering a new flight between Atlanta and Los Angeles. The average fare per seat for the night is 5760: The costs associated with the fight are as follows Fixed costs for the right: Crew salaries $ 5.000 Operating costs 50,000 Aircraft depreciation 25,000 $80,000 Variable costs per passenger Passenger check-in 520 Operating costs 100 Total $120 The antine estimates that the light will sell 175 seats Total a. Determine the break even number of passengers per flight. Bak-even Sales (unit) passengers bland on your answer in (a), should the airline add this flight to its schedule? The airline should the flight. The number of passengers is cu how much profit should each flight produce? the break even number of passengers for the night d. Based on the case and your answers wat additional issues might the airline consider in this decision 1. The airline should consider the impact of the new flight on other flights to Los Angeles. That is, whether the seats sold on the new light are truly incrementales for the tine, or whether passengers are shifting from one of the airline's other flights to this new flight Previous Net $20 eBook Print Item Arcra precision 225,000 Total $80,000 Variable costs per passenger Passenger check-in Operating costs 100 Total 5120 The airline estimates that the fight will sell 175 sats a. Determine the break even number of passengers per flight Break-Even Sales (units) passengers b. Based on your answer in () should the airline add this flight to its schedule? The line should the flight. The number of passengers is c. How much profit should each flight produce? the break even number of passengers for the night d. Based on the core and your answer what additional issues might the wirline conuder in this decision? 1. The main should consider the impact of the new flight on other lights to Los Angeles. That is, whether the seats sold on the new right are truly incremental seats for the live or whether passengers are shifting from one of the airline's other flights to this new flight 2. The wrine should consider the impact of the new flight on system load 3. The airline should consider the rise in the fixed cost. 1. The avile should consider if it has sufficient resources to add the new light in terms otion and manpower

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