$7-6 (Learning Objective 3) lu tho information from th
Q: . (Learning Objective 5: Make closing entries and calculate net income) The adjustedtrial balance of…
A: Journal: Recording of a business transaction in a chronological order.
Q: (Learning Objective 3: Record note payable transactions) Dean Sales Companycompleted the following…
A: Interest expense is the cost incurred or paid by the entity against the purchase of assets at…
Q: . (Learning Objective 5: Report a contingent liability) Pine Systems’ revenues for LO 52018 totaled…
A:
Q: (Learning Objective 7: Calculate return on assets) Oscar Optical Corporation providesa full line of…
A:
Q: Problem: Module 6 Textbook Problem 2 Learning Objective: 6-1 Identify the characteristics relevant…
A: Opportunity costs are the feasible gains that a person, investor, or company forgoes while deciding…
Q: The YuRaeKa charity was established in 1960. The charity’s aim is to provide support to children…
A: Weak Control Environment Lack of responsibilities and responsibilities segregation: There is…
Q: X Cengage Digital Learning X CengageNOWv2 | Online teachin x engage X /takeAssignment/takeAssignment…
A: Gross earnings refer to the amount of income earned by the employee before any adjustment and before…
Q: (Learning Objective 5: Use the COGS model to make management decisions)Sokol Antiques, Inc., began…
A: Cost of goods sold: It can be defined as the carrying value of goods that have been sold by the…
Q: P4-43A. (Learning Objective 3: Evaluate internal controls) Mark Kershey, a formerSmucker employee,…
A: Introduction: Internal control: Rules and procedures that are implemented in the organization for…
Q: (Learning Objective 4: Account for warranty expense and accrued warranty payable)North Boulder USA,…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: Solve for the missing item in the following Principal= $500 Interest =6% Time? Simple…
A: Principal = $500 Interest rate = 6% Simple interest = $120
Q: (Learning Objective 3: Account for a short-term note payable) Quimby Sports Authority purchased…
A:
Q: (Learning Objective 4: Account for payroll expense and liabilities) Key West has anannual payroll of…
A: The income statement is as follows:
Q: I'm having trouble preparing this balance sheet
A: The first step is to prepare the income statement by adding all the revenue and operating expenses…
Q: e Digital Learning CengageNOWv2| Online teachin x * Cengage Learning x +…
A: Calculation of days cash on hand for the Years 20Y8 & 20Y9::::: cash /(Annual Operating…
Q: (Learning Objective 2: Calculate days’ payable outstanding) The balance of LandyCorporation’s…
A: Calculate average accounts payable: Average accounts payable = (opening accounts payable + ending…
Q: 48. (Learning Objectives 1, 5: Reporting current liabilities) The top management of Pratt Marketing…
A: Current ratio is calculated as ratio of current assets and current liabilities. The ideal current is…
Q: Learning Task 2 Problem: The Prospere Bookstore The Prospere Bookstore sells the books used in…
A: Calculation of sales revenue is as follows: Sales to enrolled students = P225,000 Sales of supplies…
Q: .... E-17/Computing working capital changes Learning Objective 4 Data for Research Enterprises…
A: Calculation of the dollar amount of change in working capital is as follows:
Q: (Learning Objective 4: Construct the financial statements) Suppose Robin SportingGoods Company…
A: Single-step Income statement for the year ended July 31, 2018 Particulars Amount Net Revenue…
Q: Learning Objective 1, 2, 3, 4: Record liability-related transactions) The followingtransactions of…
A: Journal entries: Date Account journal Amount $ Amount $ Mar 3 Inventory 65,000 8% Note…
Q: (Learning Objective 1, 2, 3, 4: Measure and report current liabilities) Sea AirMarine experienced…
A: Liabilities: The claims creditors have over assets or resources of a company are referred to as…
Q: (Learning Objective 6: Analyze and evaluate liquidity and debt-paying ability) LO 6McClain Company’s…
A: 1. Calculate the current ratio and debt ratio on December 31, 2018.
Q: (Learning Objective 4: Account for accrued payroll) Fitzgerald Company pays itsemployees every other…
A: Given: Wages paid = $ 112,000 Income tax of employees = $ 15,610 FICA tax = $ 12,600
Q: (Learning Objectives 1, 2, 4: Identify transactions, analyze impact on accountingequation,…
A: Financial Transactions are those transactions which affects or changes the assets, liabilities ,…
Q: 2. Using the fact pattern presented in Exercise 8-15, prepare journal entries for CVC and Buffalo…
A: An Accounting process starts from collecting the data from Events & transactions and then…
Q: Learning Task 3: Using the table below, transform the information presented into paragraph form.…
A: The table given shares data of enrollment in different key stages across different sectors.
Q: Click to watch the Tell Me More Learning Objective 6 video and then answer the questions belovw. 1.…
A: Cost is the original cost at which asset has been purchased. Accumulated depreciation is the total…
Q: he Prospere Bookstore sells the books used in classed such as workbooks and coloring books. All the…
A: Income statement is prepared with a view to ascertain the net income of an entity by deducting total…
Q: Analyze current and long-term liabilities; evaluate debt-paying ability) EnviroFriend Structures,…
A: Long-term liabilities:Long-term liabilities is an obligation that a company must pay after at least…
Q: S3-4. (Learning Objective 2: Apply the revenue and expense recognition principles) A largeauto…
A: The revenue recognition principle becomes a base for the purpose of recognizing the revenue in the…
Q: FABM1 '21-'22 WEEK 4 TASK Learning Competency The learners shall be able to ilustrate the accounting…
A: Accounting equation of the business says that total assets in the business must always be equal to…
![FunTime Cruiseline offers nightly dinner cruises departing from several cities on the east-
ern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner
cruise tickets sell for $50 per passenger. FunTime Cruiseline's variable cost of providing
the dinner is $30 per passenger, and the fixed cost of operating the vessels (depreciation,
salaries, docking fees, and other expenses) is $210,000 per month. The company's rel-
evant range extends to 20,000 monthly passengers.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F59d5c3f3-0725-4ac4-9f46-d93c888de04a%2F0432482d-7b98-4df7-9f99-0befc77a29ce%2Fryi5dbs_processed.jpeg&w=3840&q=75)
![S7-6 Changes in fixed costs (Learning Objective 3)
Use the information from the FunTime Cruiseline Data Set. Suppose FunTime Cruiseline
embarks on a cost reduction drive and slashes fixed expenses from $210,000 per month
to $150,000 per month.
1. Compute the new breakeven point in units and in sales dollars.
2. Is the breakeven point higher or lower than in S7-3? Explain how changes in fixed
costs generally affect the breakeven point.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F59d5c3f3-0725-4ac4-9f46-d93c888de04a%2F0432482d-7b98-4df7-9f99-0befc77a29ce%2F2rrcacl_processed.jpeg&w=3840&q=75)
![](/static/compass_v2/shared-icons/check-mark.png)
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
- FunTime Cruiseline offers nightly dinner cruises departing from several cities on the cu ern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $50 per passenger. FunTime Cruiseline's variable cost of providing the dinner is $30 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $210,000 per month. The company's rel- evant range extends to 20,000 monthly passengers. d. Use the contribution margin ratio to project operating income if monthly sales rev- S7-1 Compute unit contribution margin and contribution margin ratio (Learning Objective 1) Use the information from the FunTime Cruiseline Data Set to compute the following a. What is the contribution margin per passenger? b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly sales toda 17,000 passengers. enue totals $595,000.amounts with a $0 balance, make sure to enter " 0 " in the appropriate input field.) Now compute the breakeven point in sales dollars. Enter the formula, then compute the breakeven sales. (Enter the contribution margin ratio as a whole percent. For amounts with a $0 balance, make sure to enter " 0 " in the appropriate input field.)Super Cruiseline offers nightly dinner cruises departing from several cities on the eastern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $50 per passenger. Super Cruiseline's variable cost of providing the dinner is $20 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $270,000 per month. The company's relevant range extends to 19,000 monthly passengers. Use this information to compute the following: a. What is the contribution margin per passenger? b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly sales total 16,000 passengers. d. Use the contribution margin ratio to project operating income if monthly sales revenue totals $520,000.
- Super Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $80 per passenger. Super Cruiseline's variable cost of providing the dinner is $40 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $240,000 per month. The company's relevant range extends to 18,000 monthly passengers. If Super Cruiseline sells an additional 600 tickets, by what amount will its operating income increase (or operating loss decrease)? First, identify the formula, then compute the operating income increase (or operating loss decrease). Operating =Flow Cruiseline offers nightly dinner cruises departing from several cities on the eastern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $50 per passenger. Flow Cruiseline's variable cost of providing the dinner is $20 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $210,000 per month. The company's relevant range extends to 13,000 monthly passengers. d.Classy Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $80 per passenger Classy Cruiseline's variable cost of providing the dinner is $40 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $240,000 per month. The company's relevant range extends to 15,000 monthly passengers. If Classy Cruiseline sells an additional 600 tickets, by what amount will its operating income increase (or operating loss decrease)? Came First, identify the formula, then compute the operating income increase (or operating loss decrease) Operating |
- Ocean Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise fickets sell for $50 per passenger. Ocean Cruiseline's variable cost of providing the dinner is $20 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $210,000 per month. The company's relevant range extends to 15,000 monthly passengers. The breakeven sales are 7.000 tickets sold. a. Compute the operating leverage factor when Ocean Cruiseline sells 8,750 dinner cruises b. If volume increases by 8%, by what percentage will operating income increase? c. If volume decreases by 3%, by what percentage will operating income decrease? a. Compute the operating leverage factor when Ocean Cruiseline sells 8,750 dinner cruises. (Round your answer to one decimal place.) First, identify the formula, then compute the operating leverage factor.…Flow Cruiseline offers nightly dinner cruises departing from several cities on the East Coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $60 per passenger. Flow Cruiseline's variable cost of providing the dinner is $30 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $270,000 per month. The company's relevant range extends to 15,000 monthly passengers. The breakeven sales are 9,000 tickets sold. a. Compute the operating leverage factor when Flow Cruiseline sells 10,000 dinner cruises. b. If volume increases by 8%, by what percentage will operating income increase? c. If volume decreases by 6%, by what percentage will operating income decrease? a. Compute the operating leverage factor when Luxury Cruiseline sells 10,000 dinner cruises. (Round your answer to one decimal place.) First, identify the formula, then compute the operating leverage factor.…Super Cruiseline offers nightly dinner cruises departing from several cities on the eastern coast of the United States including Charleston, Baltimore, and Alexandria. Dinner cruise tickets sell for $80 per passenger. Super Cruiseline's variable cost of providing the dinner is $40 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $240,000 per month. The company's relevant range extends to 14,000 monthly passengers. Use this information to compute the following: a. What is the contribution margin per passenger? b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly sales total11,000 passengers. d. Use the contribution margin ratio to project operating income if monthly sales revenue totals $515,000.
- Fir Luxury Cruiseline offers nightly dinner cruises off the coast of Nanaimo and Victoria. Dinner cruise tickets sell for $60 per passenger. Luxury Cruiseline's variable cost of providing the dinner is $15 per passenger, and the fixed cost of operating the vessels (depreciation, salaries, docking fees, and other expenses) is $180,000 per month. The company's relevant range extends to 20,000 monthly passengers. Use this information to compute the following: a. What is the contribution margin per passenger? b. b. What is the contribution margin ratio? c. Use the unit contribution margin to project operating income if monthly sales total 17,000 passengers. Fir d. Use the contribution margin ratio to project operating income if monthly sales revenue totals $620,000.Atlantis Cruise Lines offers luxury, one-week cruise packages in the Greek Aegean Sea. The ship has a capacity for 1,200 people. Atlantis averages 1,000 passengers per cruise. The price per passenger is $6,000. Costs associated with a cruise are as follows: Variable costs per cruise: Crew to serve passengers $1,200,000 Food 1,500,000 Amenity and excursion 400,000 Total variable cost per cruise $3,100,000 Fixed costs per cruise: Crew to run ship $1,500,000 Depreciation expense 120,000 Fuel 50,000 Total fixed cost per cruise $1,670,000 Atlantis proposes an early booking program to help increase the number of passengers per cruise. Under the proposed early booking program, the first 300 passengers to book a cruise will receive a $1,500 discount off the normal price for the cruise. Atlantis expects this program to increase the number of passengers from 1,000 to 1,180 per cruise. The proposed booking…JetTaxi is a passenger airplane line that contracts with larger, well-known lines to provide transportation across the United States. JetTaxi owns 30 aircraft, and currently has contracts for 20 of those aircraft. JetTaxi normally charges $2,700,000 each year per jet to provide the carrier services. Each JetTaxi plane incurs yearly costs of $600,000 for labor, $200,000 for fuel, $400,000 in fixed overhead, and $800,000 in variable overhead. JetTaxi is considering a new contract where they would provide 5 airplanes to a new company for $2,000,000 each year per jet. Should JetTaxi accept the contract? Why? Group of answer choices No, because the differential net income would be zero. Yes, because the differential net income would be $1.6M. No, because the differential net income would be - $2M. Yes, because the differential net income would be $2M.