Live It Cruiseline offers nightly.r dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for 550 per passenger. Live It Cruiseline's variable cost of providing the dinner is $20 per passenger. and the fixed cost of operating the vessels (depreciation. salaries. docking fees, and other expenses) is $270000 per month. Under these conditions, the breakeven point in tickets is 0.000 and the breakeven point in sales dollars is $450000. Suppose Live It Cruiseline cuts its dinner cruise ticket price from $50 to $40 to increase the number of passengers. Compute the new breakeven point in units and in sales dollars. Explain how changes in sales price generallyr affect the breakeven point. Assume that Live It Cruiseline does not cutthe price. Live It Cruiseline could reduce its variable costs by no longer serving an appetizer before dinner. Suppose this operating change reduces the variable expense from $20 to $10 per passenger. Compute the new breakeven point in units and in dollars. Explain how changes in variable costs generally affect the breakeven point. 1. Suppose Live It Cruiseline cuts its dinner cruise ticket price from $50 to 540 to increase the number of passengers. Compute the new breakeven point in units and in sales dollars. Explain how changes in sales price generallyf affect the breakeven point. Begin with the breakeven point in units. Enterthe formula. then compute he breakeven point. (Round your final answers up to the nearest whole umber. For amounts with a 50 balance, make sure to enter "0\" in the appropriate input fie d.) Breakeven l + t: units { + |i+| |=| Now compute the breakeven point in sales dollars. Enter the formula, then compute the breakeven sales. (Enter the contribution margin ratio as a whole percent. For amounts with a $0 balance. make sure to enter "0" in the appropriate input field.) Breakeven { + ) + = sales ( + } + HIE, : All else being constant. a decrease in sales price will 1' the 2. Assume that Live It Cruiseline does not cut the price. Live It Cruiseline could reduce its variable costs by no longer serving an appetizer before dinner. Suppose this operating change reduces the variable expense from 520 to $10 per passenger. Compute the new breakeven point in units and in dollars. Explain how changes in variable costs generallv affect the breakeven point. Let's begin with the breakeven point units. Enter the formula, then compute the breakeven point in units. (Round vourfinal answers up to the nearest whole anber. For amounts with a $0 balance, make sure to enter "0\" in the appropriate input field.) Breakeven { + i E = units i l+ i+l |=| Now compute the breakeven point in sales dollars. Enter the formula, then compute the breakeven point in sales. (Enter the contribution margin ratio as a whole percent. For amounts with a $0 balance, make sure to enter "0" in the appropriate input field.) Breakeven { + f: + I '2 sales