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Here are the cost equations for the costs a boat must pay for stopping at the Port of Seattle. The activity for these equations are

Here are the cost equations for the costs a boat must pay for stopping at the Port of Seattle. The activity for these equations are based on passengers on the boat.

$5x + $650 for security

$2x + $350 for water usage

$4x for disembark fees

$6,000 for usage of the port facilities for the day

When creating a contribution margin income statement, what is the total amount subtracted for ‘variable costs’ for this boat if it had 3,000 passengers?

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