Michael Bordellet is the owner/pilot of Bordellet Air Service. The company flies a daily round trip from Seattles Lake Union to a resort in Canada. In 2013, the company reported an annual income before taxes of $72,516, although that included a deduction of $72,000, reflecting Michaels salary:

Revenue ($360 1,560 passengers)					$561,600
Less costs:
	Pilot (owners salary)		$72,000
	Fuel ( 50,960 gallons $4.15)		211,484
	Maintenance (variable)		122,000
	Depreciation of plane		20,000
	Depreciation of office equipment		2,700
	Rent expense		35,500
	Insurance		18,300
	Miscellaneous (fixed)		7,100		489,084
Income before taxes					$72,516

Revenue of $561,600 reflects 6 round trips per week for 52 weeks with an average of 5 passengers paying $360 each per round trip (6 52 5 $360 = $561,600). The flight to the resort is 490 miles one way. With 312 round trips (6 per week 52 weeks), that amounts to 305,760 miles. The plane averages 6 miles per gallon.

1.How many round trips is Michael currently flying, and how many round trips are needed to break even? (Round contribution margin per trip to 2 decimal places, e.g. 125.25 and final answer to 0 decimal places, e.g. 15.)

2.How many round trips are needed so that Michael can draw a salary of $117,000 and still not show a loss? (Round answer to 0 decimal places, e.g. 15.)

3.What is the average before-tax profit of a round trip flight in 2013? (Round answer to 2 decimal places, e.g. 15.25.)

4.What is the incremental profit associated with adding a round-trip flight? (Round answer to 2 decimal places, e.g. 15.25.)