Compute the margin of safety in units

Reference no: EM133551375

Question: Excel 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 $60 per passenger. Excel 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 17,000 monthly passengers.

The breakeven units are 9,000 tickets sold. If Excel Cruiseline sells 10,000 dinner? cruises, compute the margin of safety in units.

Reference no: EM133551375

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