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Exercise 18-11 a-b (Video) Cullumber provides shuttle service between four hotels near a medical center and an international airport. Cullumber uses two 10 passenger vans
Exercise 18-11 a-b (Video) Cullumber provides shuttle service between four hotels near a medical center and an international airport. Cullumber uses two 10 passenger vans to offer 12 round trips per day. A recent month's activity in the form of a cost-volume-profit income statement is shown below. $34,250 $3,836 2,359 655 Sales (1.370 passengers) Variable costs Fuel Tolls and parking Maintenance Contribution margin Fixed costs Salaries Depreciation Insurance 6,850 27,400 12,300 1,100 1,000 14,400 $13,000 Net Income (a1) Calculate the break-even point in dollars. Break-even point LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE (a2) Calculate the break-even point in number of passengers. Break-even point passengers LINK TO TEXT LINK TO TEXT VIDEO: SIMILAR EXERCISE (b) Without calculations, determine the contribution margin at the break-even point Contribution margin at the break-even point $ Click if you would like to show Work for this question: Open Show Works
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