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Ocean Cruiseline offers nightly dinner cruises off the coast of Nanaimo and Victoria. Dinner cruise tickets sell for $50 per passenger. Ocean?'s variable cost of providing the dinner is $10 per? passenger, and the fixed cost of operating the vessels? (depreciation, salaries, docking? fees, and other? expenses) is
$160,000 per month. The? company's relevant range extends to 20,000 monthly passengers. Draw a graph of Ocean?'s CVP relationships. Include the sales revenue? line, the fixed expense? line, the total expense? line, and the? break-even point. Determine the income area and the loss area.
The operating income area is?
The operating loss area is
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