What is the Financial Disadvantage of discontinuing flight 482?

$14,960 100.00 1.360 13,600 90.98 Ticket revenue (170 seats * 401 occupancy * $220 ticket price) Variable expenses ($20.00 per person) Contribution margin Flight expenses Salaries, light crew Flight promotion Depreciation of aircraft Fuel for aircraft Liability insurance Salaries, light assistants Baggage loading and light preparation Overnight costs for flight crew and assistants at destination Total flight expenses Net operating loss $ 1.800 770 1,600 5.900 4,500 1.500 1,800 500 18,370 $4,770) The following additional information is available about flight 482: a. Members of the flight crew are paid fixed annual salaries, whereas the flight assistants are paid based on the number of round trips they complete. b. One-third of the liability insurance is a special charge assessed against flight 482 because in the opinion of the insurance company the destination of the flight is in a "high-risk area. The remaining two-thirds would be unaffected by a decision to drop flight 482 c. The baggage loading and flight preparation expense is an allocation of ground crews'salaries and depreciation of ground equipment. Dropping flight 482 would have no effect on the company's total baggage loading and flight preparation expenses d. If flight 482 is dropped, Pegasus Airlines has no authorization at present to replace it with another flight e. Aircraft depreciation is due entirely to obsolescence. Depreciation due to wear and tear is negligible. Dropping flight 482 would not allow Pegasus Airlines to reduce the number of aircraft in its fleet or the number of flight crew on its payroll