Question
ellow Dove Airways provides air transportation services between Portland and Minneapolis. A single Portland to Minneapolis round-trip flight has the following operating statistics: Fuel and
ellow Dove Airways provides air transportation services between Portland and Minneapolis. A single Portland to Minneapolis round-trip flight has the following operating statistics: Fuel and landing fees $14,321 Flight crew salaries 10,969 Airplane depreciation 5,180 Variable cost per passengerbusiness class 60 Variable cost per passengereconomy class 50 Round-trip ticket pricebusiness class 580 Round-trip ticket priceeconomy class 300 It is assumed that the fuel and landing fees, crew salaries, and airplane depreciation are fixed, regardless of the number of seats sold for the round-trip flight. a. Compute the break-even number of seats sold on a single round-trip flight for the overall product. Assume that the overall product is 10% business class and 90% economy class tickets. Round your answer to whole number. Total number of seats at break-even seats b. How many business class and economy class seats would be sold at the break-even point? Round your answers to whole number. Business class seats Economy class seats
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