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: Package Specifications Cost Data Oceanfront room; number of nights Meals: Breakfasts Lunches Dinners Scuba diving trips Water skiing trips Airfare (round trip from Miami) Transportation to and from airport Cancun Jamaica 6 4 $69/night 6 4 $11/ea 7 $16/ea 6 4 $26/ea 3 2 $88/ea 4 2 $63/ea 1 1 $340 (Cancun), $500 (Jamaica) 1 1 $46 (Cancun), $58 (Jamaica) The Cancun trip sells for $2,000, and the Jamaica trip sells for $1,760, and both packages allow two bags to be checked for free. Required: 1. What are the current profit margins on both trips? 2. Take-a-Break's management believes that it must drop the price of each trip by $113 in order to remain competitive in the market. Recalculate profit margins for both packages at these price levels.