Use the formula to calculate how many cups of coffee an airport caf would need to sell to break even if fixed costs are $6,990, a cup of coffee costs $0.37 to make, and each cup sells for $2.02.

10 points

QUESTION 2

Given total operating costs of $2.83 million and 5.61 million available seat miles, calculate the cost per available seat mile (CASM).

Calculate the answer to 3 decial places

10 points

QUESTION 3

What is the break-even load factor if CASM is $0.3 and the fare is $0.36 per mile?

Note:

• For this calculation, the yield is the same as the fare.
• Answer as a percentage

10 points

QUESTION 4