Empire Airlines Reports The Following Cost Data For The Year The Company Flew 100 Private Flights During The Year A Gr 1 (189.46 KiB) Viewed 34 times
Empire Airlines reports the following cost data for the year. The company flew 100 private flights during the year. A group has offered Empire $12,100 for a private flight to Chicago for its members. Revenue Wages, salaries, and benefits Fuel and oil Food and beverages Depreciation Rent $ 21,100 per flight $ 8,100 per flight $ 5,600 per flight $ 720 per flight $ 355,000 per year $ 305,000 per year (a) What is the contribution margin from accepting the offer? (b) Should the offer be accepted or rejected?
What is the contribution margin from accepting the offer? (Negative amounts should be indicated with a minus sign.) Variable costs EMPIRE AIRLINES Contribution Margin
Should the offer be accepted or rejected? Should the offer be accepted or rejected?
Join a community of subject matter experts. Register for FREE to view solutions, replies, and use search function. Request answer by replying!