Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

passenger. Exenl Cruselino's variablin cost of proviling the doner it $20 per passonger, and the foed cost of operasing the vessels (deproclation, sataries, docking feos,

image text in transcribed
image text in transcribed
image text in transcribed
passenger. Exenl Cruselino's variablin cost of proviling the doner it $20 per passonger, and the foed cost of operasing the vessels (deproclation, sataries, docking feos, and other expenses) is $210,000 per monit. The conpanysa relevant range extends io 14,000 montily passengen. If Extel Cruisoline selts an addtional 300 bekets, by what amount wit its operating income increase (or operating loss decrease)? Fin, beriag the formik, then compute the opernting incame increase (or openalng yss decrease) Excel Cruisedine offers nightly dinner cruises deparing trom several cbis on the East Coast of the United States including Charleston, Batmore, and Alexasdria. Diner erise fichess sel for 350 per passengec. Excel Cruseline's variable cost of providng the dimor is $20 per passengo, and the foed coit of operating the vossels (depreciation, salaries, dockeng foos, and oher eupenses) in $210,000 per month. The compary't relevant mage exdends to 14,000 monthly passengens If Excel Cruiselon sels an additional 300 sckets, by what amount will is operating income incenase (or operating loss decrease)? Fint, identify tho formula, then compite the operating income increase (or eperating loss decrease)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

GLP Quality Audit Manual

Authors: Milton A. Anderson

3rd Edition

0367398435, 978-0367398439

More Books

Students also viewed these Accounting questions