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..! Sunland Airways, Inc, a small two-plane passenger airline, has asked for your assistance in some basic analysis of its operations. Both planes seat 10

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..! Sunland Airways, Inc, a small two-plane passenger airline, has asked for your assistance in some basic analysis of its operations. Both planes seat 10 passengers each and they fly commuters from Sunland's base airport to the major city in the state, Metropolis Esch month, 40 round-trip flights are made. The following is a recent month's activity in the form of a cost-volume-profit income statement Fare revenues (400 passenger flights) Variable costs $45,120 Fuel $13,160 Snacks and drinks 752 Landing lees 1880 Supplies and forms 1.128 16.920 Contribution margin 28.200 Fixed costs Depreciation 2,820 Salaries 14,100 Advertising 470 Airport hanger fees 1,645 19.035 Net Income 59,165 (c) If ticket prices were decreased by 10%, passenger flights would increase by 25%. However, total variable costs would increase by the same percentage as passenger flights, (1) How much would net income be impacted by this change? Net income to $ (2) Should the ticket price decrease be adopted

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