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SunsetSunset Travel Agency specializes in flights between Toronto and Jamaica. It books passengers on HamiltonHamilton Air. SunsetSunset's fixed costs are $ 23,500 per month. HamiltonHamilton

SunsetSunset Travel Agency specializes in flights between Toronto and Jamaica. It books passengers on HamiltonHamilton Air. SunsetSunset's fixed costs are $ 23,500 per month. HamiltonHamilton Air charges passengers $ 1500 per round-trip ticket.

Calculate the number of tickets

SunsetSunset

must sell each month to (a) break even and(b) make a target operating income of

$ 10 comma 000$10,000

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.

SunsetSunset's

variable costs are

$ 43

per ticket.

HamiltonHamilton

Air pays

SunsetSunset

66%

commission on ticket price.

2.

SunsetSunset's

variable costs are

$ 40

per ticket.

HamiltonHamilton

Air pays

SunsetSunset

66%

commission on ticket price.

3.

SunsetSunset's

variable costs are

$ 40

per ticket.

HamiltonHamilton

Air pays

$ 60

fixed commission per ticket to

SunsetSunset.

Comment on the results.

4.

SunsetSunset's

variable costs are

$ 40

per ticket. It receives

$ 60

commission per ticket from

HamiltonHamilton

Air. It charges its customers a delivery fee of

$ 5

per ticket. Comment on the results.

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