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FunTime Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise
FunTime Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $50 per passenger. FunTime Cruiseline's variable cost of providing the dinner is $30 per passenger, and the xed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $210,000 per month. The company's relevant range extends to 20,000 monthly.r passengers. Compute the number of dinner cruise tickets FunTime Cruiseline must sell to breakeven and the sales dollars needed to breakeven. Compute the number of dinner cruise tickets FunTime Cruiseline must sell to breakeven. Use the shortcut unit contribution margin approach. First, identify the formula, then compute the breakeven sales in units. (Complete all input fields. For amounts 1with a 50 balance, make sure to enter "0" in the appropriate input field.) { :ixed expenses + Operating income ) _; Contribution margin per unit 2 Breakeven units ( $ 210,000 + $ 0 } + $ 20 : 10,500 Compute the sales dollars needed to breakeven. Use the shortcut unit contribution margin ratio approach. First, identify the formula, then compute the breakeven sales in dollars. [Complete all input elds. For amounts with a 50 balance, make sure to enter "0" in the appropriate input field. Enterthe contribution margin ratio as a whole percent.) t :+ Z a E: Breakeven sales (:l+ : a :'a = E
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