Mary is a travel agent. She intends to sell her customers a special round-trip airline ticket package. She is able to purchase the package from the airline carrier for 170 € each. The round-trip tickets will be sold for 200 € each and the airline intends to reimburse Mary for any unsold ticket packages. Fixed costs include 5,140 € in advertising costs. . For every 135 round-trip airline ticket packages sold, operating income will increase by ________.
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34,000 € |
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27,000 € |
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4,050 € |
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22,950 € |
operating income will increase by 4050.
sales amount 135*200 = 27000
purchase value 135*170= 22950
operating income = 27000-22950 =4050
Mary is a travel agent. She intends to sell her customers a special round-trip airline ticket...
Brian O'Neil intends to sell his customers a special round-trip airline ticket package. He is able to purchase the package from the airline carrier for $400 each. The airline intends to reimburse Brian for any unsold ticket packages. The round-trip tickets will be sold for $500 each. How many units will he need to sell in order to break even assuming Brian incurred $10,000 in expenses to advertise the sale, and there are no other expenses? 125 packages? 100 packages?...