Profits have been decreasing for several years at Pegasus Airlines in an effort to improve the company's pert dropping several flights that appear to be unprofitable Additional information is as follows Salanes, fight crew Liability insurance Salaries, flight assistants Depreciation of aircraft 400 150 600 360 Members of the fight crew are paid fixed annual salanes, whereas the flight assistants are paid based on the number of round trips they complete One third of the liability insurance is a special charge assessed against flight 482 because in the opinion of the insurance company, the destination of the flight is in a high-risk area. The remaining two-thirds would be unaffected by a decision to drop flight 482. Aircraft depreciation is due entirely to obsolescence Depreciation due to wear and tear is negligible.