User Account

All Pages

What is the contribution margin at the break-even point

Assignment Help Accounting Basics
Reference no: EM132699654

Question - Comfi Airways, Inc., a small two-plane passenger airline, has asked for your assistance in some basic analysis of its operations. Both planes seat 10 passengers each, and they fly commuters from Comfi's base airport to the major city in the state, Metropolis. Each month, 40 round-trip flights are made. Shown below is a recent month's activity in the form of a cost-volume-profit income statement.

Fare revenues (400 passenger flights) $48,000

Fuel $17,778

Snacks and drinks 730

Landing fees 1,800

Supplies and forms 1,100 21,408

Contribution margin 26,592

Depreciation 3,050

Salaries 14,190

Advertising 600

Airport hanger fees 1,550 19,390

Net income $7,202

Required - What is the contribution margin at the break-even point?

Reference no: EM132699654

Questions Cloud

How much interest expense was paid on December : Huawei buys back $300,000 worth of bonds for $315,000 (includes accrued interest). How much interest expense was paid on December 31, 2015
Identify the individual within organization : Identify the individual within the organization and their role and responsibilities.
Journalise the entries to accrue the weekly payroll : Journalise the entries to accrue the weekly payroll on 31 July, to record the employer's payroll taxes and to pay the payroll on 4 August
Why would voters choose to vote for third party : Why would voters choose to vote for a third party, even though they know that their candidate has virtually no chance of winning?
What is the contribution margin at the break-even point : Shown below is a recent month's activity in the form of a cost-volume-profit income statement. What is the contribution margin at the break-even point
Candidate has virtually no chance of winning : Why would voters choose to vote for a third party, even though they know that their candidate has virtually no chance of winning?
Compute the all inclusive pay of the managing director : Availability for private use of a motor vehicle (taxable value of $8,000 per quarter). Compute the all inclusive pay of the managing director
Controversial current issue in public policy : Consider any important and controversial current issue in public policy.
How much would be the assets pledged to fully liabilities : Accounts payable and notes payable totaled P400,000. If the recovery percentage is 35 percent, how much would be the assets pledged to fully secured liabilities

Reviews

Write a Review

Accounting Basics Questions & Answers

  Discuss the implications of using fair value measurements

Discuss the implications of using fair value measurements for long-lived assets. Comment on the advantages and disadvantages of each method

  Compute the accounting rate of return

Van Doren Corporation is considering producing a new temperature regulator called Digidial. Compute the accounting rate of return

  Discuss with reasons your favorite leadership theory

Discuss with reasons your favorite leadership theory. What steps you can take to develop yourself in a transformational leader

  Calculate the annual average total return

Calculate the annual average total return (including dividends) to a U.S. dollar-based investor holding the shares for the entire period shown.

  What perspectives mean for power of accountants in society

Australian financial reporting regulatory environment, the issues of regulatory capture and private interests do adversely affect the objective of the provision of useful information for users of public company financial reports

  When financial statements are presented in comparative form

when financial statements are presented in comparative form and another firm audited the prior-years financial

  Compute the correct final balance of inventory

Inventory items with a cost of $3,130 were included in ending inventory. Using the information given above, compute the correct final balance of Inventory

  Determining the bond approaches maturity

State whether each component will increase (I), decrease (D), or remain constant (C) as the bond approaches maturity given the following situations:

  Prepare the journal entry related to pina depreciable assets

Prepare the 2017 journal entry related to Pina's depreciable assets (Equipment)

  What possible tort claim that patty make against cash mart

What are the possible tort claims that Patty can make against Cash Mart? Discuss the elements of the claim and how those elements relate to the facts

  What will happen to the price of a single bond

What will happen to the price of a single bond with a par value of $1,000 if the required bond yield unexpectedly falls to 5% or rises to 7%

  Determine the pension expense to be reported

The service cost component for 2011 is $150,000 and the amortization of prior service cost is $240,000. Determine the pension expense to be reported in 2011

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd