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Essay's paper info
Topic: Business
Number of pages / Number of words: 2 / 291
Essay's paper body

Fixed Cost = 220000+10000+65000 = 295000

Variable cost per passenger = 200

Revenue = 1500 per passenger X # of passengers (# of passengers = x)

Revenue – Cost = Profit

1500x – (200x+295000) = 0

x = 226.92 rounded up to 227 passengers to break even

2. Should Health Cruises go ahead with the cruise since 200 people have signed up by November 14th?

IF the $220,000 boat rental is non-refundable, then there are only 2 options...


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Fixed Cost = 220000+10000+65000 = 295000

Variable cost per passenger = 200

Revenue = 1500 per passenger X # of passengers (# of passengers = x)

Revenue – Cost = Profit

1500x – (200x+295000) = 0

x = 226.92 rounded up to 227 passengers to break even

2. Should Health Cruises go ahead with the cruise since 200 people have signed up by November 14th?

IF the $220,000 boat rental is non-refundable, then there are only 2 options...


Essay fragment

General points of the essay

An Interface Between Financial Accounting And Cost & Management Accounting And Some Concepts Of Strategic Cost Management Cost Volume Profit questions Cost and Revenue Curves Determine The Primary Activities And Secondary Activities Of Your Organisation. Make A Conscious Decision On Whether Your Organization Should Compete By The Least Cost Strategy Or The Product Differentiation Strategy. Determine The Cost Drivers Of... Fixed and Variable Cost Fixed vs. variable cost Marginal utility theory, product differentiation, and revenue/profit maximization The Cost of Gasoline versus the Cost of Alternatives Variable And Absorbtion Cost Variable or Fixed Cost Cost Of Tuition Vs. Cost Of Ignorance Health care cost Analysis Illegal Immigration -The High Cost of Health Care Health Care Cost Accounting The Rising Cost of Health Care

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