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The first photo is the data set for the question s7-6 is the question ****** FunTime Cruiseline Data Set used for S7-1 through S7-10: FunTime
The first photo is the data set for the question
s7-6 is the question ******
FunTime Cruiseline Data Set used for S7-1 through S7-10: FunTime Cruiseline offers nightly dinner cruises departing from several cities on the east- ern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $50 per passenger. FunTime Cruiseline's variable cost of providing the dinner is $30 per passenger, and the fixed cost of operating the vessels (depreciation salaries, docking fees, and other expenses) is $210,000 per month. The company's rel- evant range extends to 20,000 monthly passengers ll Uhits and in dollars. Explain how changes in variable sts generally affect the breakeven point. co ion when the anges in fixed costs (Learning Objective 3) Use the information from the FunTime Cruiseline Data Set. Suppose FunTime Cruiseline embarks on a cost reduction drive and slashes fixed expenses from $210,000 per month to $150,000 per month. 1. Compute the new breakeven point in units and in sales dollars. 2. Is the breakeven point higher or lower than in S7-3? Explain how changes in fixed costs generally affect the breakeven pointStep by Step Solution
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