Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

Use this information to compute the following: Great Cruiseline offers nightly dinner cruises departing from several cities on the eastern coast of the United States

image text in transcribedimage text in transcribed

Use this information to compute the following: Great Cruiseline offers nightly dinner cruises departing from several cities on the eastern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $60 per passenger. Great 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 $270,000 per month. The company's relevant range extends to 19,000 monthly passengers. a. What is the contribution margin per passenger? b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly sales total 16,000 passengers. d. Use the contribution margin ratio to project operating income if monthly sales revenue totals $595,000. a. What is the contribution margin per passenger? First identify the formula, then compute the contribution margin per passenger. = Contribution margin per passenger a. What is the contribution margin per passenger? First identify the formula, then compute the contribution margin per passenger. = Contribution margin per passenger II Fixed cost per passenger Sales price per passenger Variable cost per passenger Choose from any list or enter any number in the input fields and then click Check

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

Question 1 (a2) What is the reaction force Dx in [N]?

Answered: 1 week ago