Ask Me Help Desk

Ask Me Help Desk (https://www.askmehelpdesk.com/forum.php)
-   Accounting (https://www.askmehelpdesk.com/forumdisplay.php?f=19)
-   -   Break-Even Sales and Sales Mix for a Service Company (https://www.askmehelpdesk.com/showthread.php?t=714376)

  • Nov 5, 2012, 12:13 PM
    Erin2400
    Break-Even Sales and Sales Mix for a Service Company
    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:

  • All times are GMT -7. The time now is 10:47 AM.