how much does flycheap need to charge per passenger to break even on this flight if 25/32 seats are filled?  Revenue - 25 passenagers- 12,500 pounds costs - 500 pounds per passenager fuel 6000kg at  0.5 pounds per kg  Aircraft dry lease 2,500 pounds per flight Aircraft servicing 600 pounds per flight aircraft cost - 2 pilots at 700 pounds per hour, 3 crew at 400 pounds per hour  Other overheads - 1500 pounds per flight Airport charges (Landing, passenger use of facilities) - 900 pounds per flight Catering costs - 1400 pounds per flight.  You can omit the price of fuel if you want to provide an added challenge.

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter25: Differential Analysis And Product Pricing
Section: Chapter Questions
Problem 1MAD: Analyze Pacific Airways Pacific Airways provides air travel services between Los Angeles and...
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how much does flycheap need to charge per passenger to break even on this flight if 25/32 seats are filled? 

Revenue - 25 passenagers- 12,500 pounds costs - 500 pounds per passenager

fuel 6000kg at  0.5 pounds per kg 

Aircraft dry lease 2,500 pounds per flight

Aircraft servicing 600 pounds per flight

aircraft cost - 2 pilots at 700 pounds per hour, 3 crew at 400 pounds per hour 

Other overheads - 1500 pounds per flight

Airport charges (Landing, passenger use of facilities) - 900 pounds per flight

Catering costs - 1400 pounds per flight. 

You can omit the price of fuel if you want to provide an added challenge. 

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