The 280,000 breakeven flight miles figure seemed high but doable. In her mind, she also translated that figure into an approximate number of flight hours, determining that figure to be about 933 hours per year for each of the Twin Otters. They would be pushing the planes pretty hard, especially for the northern Canadian environment, but she felt fairly certain the transportation demand would materialize that would require them to do it. What If? It was hard to tell if the warm glow Grace was beginning to feel was due to the hot chocolate and her flannel pajamas or an optimism that bordered on overconfidence. Just to be on the safe side (if there was such a financial concept) she jotted down a few "what ifs" she wanted to explore. In particular: 1. If High Point were to decrease its $9.00 revenue rate by 5%, what would the new level of breakeven flight miles be? 2. If High Point were to incur another $100,000 of fixed costs, what additional flight miles would need to be flown at the $9.00 flight-mile revenue rate to keep the company at a financial breakeven level? 1 At an average speed of 150 mph for each plane, the figure of 280,000 flight miles for the two planes combined anslates to 933 flight hours, per year, per plane. The normal cruise speed for this type of plane is 130 knots. One ot=1.15 mph. Thus, 130 knots equates to 150 mph