Just can't seem to get the net increase or decrease in profits if the flight is discontinued and the help would be much appreciated.

Profits have been decreasing for several years at Pegasus Airlines. In an effort to improve the company's performance, consideration is being given to dropping several flights that appear to be unprofitable A typical income statement for one round-trip of one such flight (flight 482) is as follows Ticket revenu e (110 seats x 40% occupancy x $65 ticket price) $2,860 100% 616 21.5 Variable expenses ($14.00 per person) Contribution margin Flight expenses 2,244 78.5% Salaries, flight crew Flight promotion Depreciation of aircraft Fuel for aircraft Liability insurance Salaries, flight assistants Baggage loading and flight preparation Overnight costs for flight crew and assistants at destination $ 350 680 360 160 180 700 190 70 2,690 $ (446) Total flight expenses Net operating loss The following additional information is available about flight 482 a. Members of the flight crew are paid fixed annual salaries, whereas the flight assistants are paid based on the number of round trips they complete b. One-third of the liability insurance is a special charge assessed against flight 482 because in the opinion the destination of the flight is in a "high-risk" area. The remaining two-thirds of the insurance company would be unaffected by a decision to drop flight 482 c. The baggage loading and flight preparation expense is an allocation of ground crews' salaries and depreciation of ground equipment. Dropping flight 482 would have no effect on the company's total baggage loading and flight preparation expenses d. If flight 482 is dropped, Pegasus Airlines has no authorization at present to replace it with another flight. e. Aircraft depreciation is due entirely to obsol f. Dropping flight 482 would not allow Pegasus Airlines to reduce the number of aircraft in its fleet or the lescence. Depreciation due to wear and tear is negligible number of flight crew on its payroll