Erin2400
Nov 5, 2012, 12:13 PM
Sunshine Airways provides air transportation services between Philadelphia and Orlando. A single Philadelphia to Orlando round-trip flight has the following operating statistics:
It is assumed that the fuel, crew salaries, and airplane depreciation are fixed, regardless of the number of seats sold for the round-trip flight.
a. Compute the break-even number of seats sold on a single round-trip flight for the overall product. Assume that the overall product is 10% business class and 90% economy class seats.
Total number of seats at break-even: seats
b. How many business class and economy class seats would be sold at the break-even point?
Business class seats at break-even: seats
Economy class seats at break-even:
It is assumed that the fuel, crew salaries, and airplane depreciation are fixed, regardless of the number of seats sold for the round-trip flight.
a. Compute the break-even number of seats sold on a single round-trip flight for the overall product. Assume that the overall product is 10% business class and 90% economy class seats.
Total number of seats at break-even: seats
b. How many business class and economy class seats would be sold at the break-even point?
Business class seats at break-even: seats
Economy class seats at break-even: