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Trans-Mountain Bus Lines Case Study THE PROBLEM Trans-Mountain Bus Lines operates between Vancouver and the interior of 3.0. connecting Vancouver, Abbotsford, Hope, Merritt, Penticton, Kelowna,

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Trans-Mountain Bus Lines Case Study THE PROBLEM Trans-Mountain Bus Lines operates between Vancouver and the interior of 3.0. connecting Vancouver, Abbotsford, Hope, Merritt, Penticton, Kelowna, and Kamloops. The company is examining the individual bus runs from Hope to Kamloops and return. The company would like to eliminate any runs that result in a loss for the company on a fully allocated basis. To accomplish this goal, management hired you as senior cost analyst in the Administration Department. Your task is to determine which, if any, unprofitable operations can be discontinued. Company costing personnel have audited the runs and have developed the need information displayed below: Bus Run Leave Leave # passengers Total round- Cost per bus # Hope Kamloops per round-trip trip revenue* run* 11:00 am $640 $500 12:00 Noon \"m -m

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