Question
Blue Water Escapes takes tourists on helicopter tours of Hawaii. Each tourist buys a $120 ticket. Variable costs average $40 per person, and total fixed
Blue Water Escapes takes tourists on helicopter tours of Hawaii. Each tourist buys a $120 ticket. Variable costs average $40 per person, and total fixed costs are $70,000 per month. Indicate whether each of the following independent actions will increase (I), decrease (D), or have no effect (NE) on the companys breakeven point.
12. Increase the ticket price to $150 __________
13. Decrease in the number of tickets sold __________
14. Increase in the variable costs to $50 __________
15. Hiring an additional salaried employee at $2,000 per month __________
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