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Sunset Travel Agency specializes in flights between Toronto and Jamaica It books passengers on Bolton Air Sunset s fixed costs arc $25 500 per month

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Sunset Travel Agency specializes in flights between Toronto and Jamaica It books passengers on Bolton Air Sunset s fixed costs arc $25 500 per month Bolton Air charges passengers $1, 400 per round-trip ticket Requirement Calculate the number of tickets Sunset must sell each month to (a) break even and (b) make a target operating income of $18 000 per month in each of the following independent cases. (Round up to the nearest whole number For example. 10 2 should be rounded up to 11) 1. Sunset's variable costs are $40 per ticket Bolton Air pays Sunset 10% commission on ticket price 2. Sunset's variable costs are $38 per ticket Bolton Air pays Sunset 10% commission on ticket price 3. Sunset's variable costs are $38 per ticket Bolton Air pays $55 fixed commission per ticket to Sunset Comment on the results 4. Sunset's variable costs are $38 per ticket It receives $55 commission per ticket from Bolton Air It charges its customers a delivery fee of $8 per ticket Comment on the results Begin by selecting the formula to calculate the breakeven points

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