Chapter 7 - Activity #1.Caculate Unit CM, CM Ratio, Breakeven and Target Profit Bay Cruiseline offers nightly dinner cruises off the coast of Miami, San Francisco, and Seattle. Dinner cruise tickets sell for $50 per passenger. Bay Cruiseline's variable cost of providing the dinner is $20 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $210,000 per month. The company's relevant range extends to 15,000 monthly passengers. Compute Contribution Margin and Contribution Margin Ratio: a. What is the contribution margin per passenger? Sale- Variable= Contribution Margin 50-20=30 b. What is the contribution margin ratio? 30/50=0.6 c. Use the contribution margin to project operating income if monthly sales total 10,000 passengers. d. Use the contribution margin ratio to project operating income if monthly sales revenue totals $400,000. e. If Bay Cruiseline sells an additional 500 tickets, by what amount will its operating income increase (or operating loss decrease)? Find Break-even f. Compute the number of dinner cruise tickets it must sell to break-even.Find Target Prot 9. If Bay Whas a target operating income of $60,000 per month, how many dinner cruise tickets must the company sell