Natalie's tour company offers weekly tour packages that include return flights from Ottawa to Hawaii once every week. She contracted Phoenix Air Travel for $1,800,000 to use their 100-seater aircrafts for a period of 18 weeks. She also contracted a hotel in Hawaii at C$230 per room per night based on double occupancy. In addition to the price of the package, each client is required to pay C$500 for air taxes, C$30 for baggage handling and transfer charges as well as C$3.5 per night for gratuities at the hotel. Taxes are additional for all the rates. Calculate the following before taxes: Cost per seat for the company:

Natalie's tour company offers weekly tour packages that include return flights from Ottawa to Hawaii once every week. She contracted Phoenix Air Travel for $1,800,000 to use their 100-seater aircrafts for a period of 18 weeks. She also contracted a hotel in Hawaii at C$230 per room per night based on double occupancy. In addition to the price of the package, each client is required to pay C$500 for air taxes, C$30 for baggage handling and transfer charges as well as C$3.5 per night for gratuities at the hotel. Taxes are additional for all the rates. Calculate the following before taxes: Cost per seat for the company:

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter16: Tax Research

Section: Chapter Questions

Problem 64DNC

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