Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Crystal Cruisoline offere nighty dinner cruisee departing trom several cities on the East Coast of phe United States induding Charleston, Baltimore, and Alexandria. Dinner cruise

image text in transcribed
Crystal Cruisoline offere nighty dinner cruisee departing trom several cities on the East Coast of phe United States induding Charleston, Baltimore, and Alexandria. Dinner cruise fickets sell foe $50 per passonger. Crystai Cruiseline' variable cout of providing the dinnet is $20 per passenger. and teve foed cost of operating the vesseis (depreciation, salarios, docking fees, and other expenses) is $210,000 per month. The oompary's relevant range extends to 20,000 monthly passengers. Use this intormation to compute the following: a. What is the contribution margin per passenger? b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly saies fetal 17,000 passengers. d. Use the contribution margin rato to project operating income if monthly sales revenue totals $490,000. a. What is the contrbution margin per possenger? First identify the formula. then compule the contribution margin per passenger

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Accounting questions

Question

Using Language That Works

Answered: 1 week ago

Question

4. Are my sources relevant?

Answered: 1 week ago