You are a Toronto based tour operator with a series of flights starting up from Vancouver to Montego Bay, Jamaica. The charter will operate every Sunday and the duration of your package is 7 nights. The aircraft has 179 seats and the anticipated load factor is 81%. The first rotation is Nov 06, 2022, and the last flight rotation is on April 30, 2023. Operating costs are $100,000 for each live/live and $85,000 for rotations with a ferry portion. Air taxes per person are $220. The hotel has a rate of $121 per person per night plus $12 per person per night for hotel taxes, charges and service fees. Transfer (airport to hotel return) per person is $46. Credit card fees are high, so we need to cost them in at $6. 00 per person “below the line” (non-commissionable). Travel Agent commission is 8%. On the Costing Calculation page below, outline each formula in your calculation, provide a costing amount for each section including the final gross selling price per person for a one-week package based on double occupancy including a 16% margin. Add lines as you need them. Find:- Costing Calculations 1) a. Air Cost Calculation b Hotel Cost Calculation c. Transfer Cost Calculation d. Margin Calculation (Net Margin amount pp = Add PP net costs and margin to get - Final Net Selling Price PP = $ ) e. Retail (Travel Agent) Commission Calculation ( Commission amount pp = Add Final Net Selling Price PP to get - Final Gross Selling Price PP ) f. Tax and Service Charges Calculation(Final Gross Selling Price PP = ? Final T&SC PP = ?

You are a Toronto based tour operator with a series of flights starting up from Vancouver to Montego Bay, Jamaica. The charter will operate every Sunday and the duration of your package is 7 nights. The aircraft has 179 seats and the anticipated load factor is 81%. The first rotation is Nov 06, 2022, and the last flight rotation is on April 30, 2023. Operating costs are $100,000 for each live/live and $85,000 for rotations with a ferry portion. Air taxes per person are $220. The hotel has a rate of $121 per person per night plus $12 per person per night for hotel taxes, charges and service fees. Transfer (airport to hotel return) per person is $46. Credit card fees are high, so we need to cost them in at $6. 00 per person “below the line” (non-commissionable). Travel Agent commission is 8%. On the Costing Calculation page below, outline each formula in your calculation, provide a costing amount for each section including the final gross selling price per person for a one-week package based on double occupancy including a 16% margin. Add lines as you need them. Find:- Costing Calculations 1) a. Air Cost Calculation b Hotel Cost Calculation c. Transfer Cost Calculation d. Margin Calculation (Net Margin amount pp = Add PP net costs and margin to get - Final Net Selling Price PP = $ ) e. Retail (Travel Agent) Commission Calculation ( Commission amount pp = Add Final Net Selling Price PP to get - Final Gross Selling Price PP ) f. Tax and Service Charges Calculation(Final Gross Selling Price PP = ? Final T&SC PP = ?

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter14: Adjustments For A Merchandising Business

Section: Chapter Questions

Problem 5SEA: ADJUSTMENT FOR UNEARNED REVENUES USING T ACCOUNTS Set up T accounts for Cash, Unearned Ticket...

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You are a Toronto based tour operator with a series of flights starting up from Vancouver to Montego Bay, Jamaica.
The charter will operate every Sunday and the duration of your package is 7 nights. The aircraft has 179 seats and the anticipated load factor is 81%.
The first rotation is Nov 06, 2022, and the last flight rotation is on April 30, 2023.
Operating costs are $100,000 for each live/live and $85,000 for rotations with a ferry portion.
Air taxes per person are $220.
The hotel has a rate of $121 per person per night plus $12 per person per night for hotel taxes, charges and service fees.

Transfer (airport to hotel return) per person is $46.
Credit card fees are high, so we need to cost them in at $6. 00 per person “below the line” (non-commissionable).

Travel Agent commission is 8%.

On the Costing Calculation page below, outline each formula in your calculation, provide a costing amount for each section including the final gross selling price per person for a one-week package based on double occupancy including a 16% margin. Add lines as you need them.

Find:-

Costing Calculations

1) a. Air Cost Calculation

b Hotel Cost Calculation

c. Transfer Cost Calculation

d. Margin Calculation (Net Margin amount pp = Add PP net costs and margin to get - Final Net Selling Price PP = $ )

e. Retail (Travel Agent) Commission Calculation ( Commission amount pp = Add Final Net Selling Price PP to get - Final Gross Selling Price PP )

f. Tax and Service Charges Calculation(Final Gross Selling Price PP = ? Final T&SC PP = ?

DUE - Week 10
1. Air Cost Calculation:
Net Air Cost pp - $
2. Hotel Cost Calculation:
Net Accommodation Cost pp-$
3. Transfer Cost Calculation:
Net Transfer Cost pp - $
4. Margin Calculation:
Net Margin amount pp-$
Costing Calculations
5. Retail (Travel Agent) Commission Calculation:
Commission amount pp - $
6. Tax and Service Charges Calculation:
Final Tax, fees and service charges total Amount PP-$
Final Gross Selling Price PP = $
Final Net Selling Price PP - $
Final Gross Selling Price PP $
Final T&SC PP = $

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