Take$-$a$-$Break Travel Company offers spring break travel packages to college students. Two of its packages,

a $7-$day, $6-$night trip to Cancun and a $5-$day, $4-$night trip to Jamaica, have the following characteristics:

The Cancun trip sells for $$2,100,$ and the Jamaica trip sells for $$1,860,$ and both packes allow two bags to

be checked for free.

Required:

What are the current profit margins on both trips?

Take$-$a$-$Break's management believes that it must drop the price of each trip by $$118$ in order to remain

competitive in the market. Recalculate profit margins for both packages at these price levels.