Finance and Business - Essay Example

Only on StudentShare

Extract of sample
Finance and Business

Income Statement (per flight) (Fare Lowered) Average number of passengers per flight Average total revenue (212*280) Variable Costs Fuel costs Food and Beverage service costs (4*212) Commission to travel agents (10% of 59,360) Gross Profit Fixed Costs Fixed annual lease costs Fixed ground services costs Fixed flight crew salaries Operating Loss 212 59,360 (14,000) (848) (5936) 38,576 (53,000) (7,500) (7,000) (28,924) 3. Income Statement (per flight for Travel International’s offer) Number of flights by Travel International Revenue from Travel International Fixed Costs Fixed annual lease costs Fixed ground services costs Fixed flight crew salaries Operating Income 24 75,000 (53,000) (7,500) (7,000) 7,500 Report The calculations in the first part illustrate that Westcoast Air co. is currently incurring an operating loss of $31,012.5. This is mainly due to the fact that the costs are exceeding the revenues by a considerable margin. ...
Download paper

Summary

Finance and Business Name University All the calculations in this report are based on the assumption that the jet aircraft has been obtained by Westcoast Air co. in the form of an Operating Lease which is reported as an Operating expense in the income statement…
Author : irunolfsson

Related Essays

Finance and Accounting Essay: Business Financial Crime
12 pages (3012 words) Essay
Business Enivronemnts
16 pages (4016 words) Essay
Essay on International business finance report
11 pages (2761 words) Essay
Finance and accounting essay: International business
11 pages (2761 words) Essay
Small Business Owner: Finance and Accounting Questions
4 pages (1004 words) Essay
Allocation of Funds in the DOE
7 pages (1757 words) Essay
Business Account Finance and Accounting Essay
6 pages (1506 words) Essay
Corporate Finance II Essay
4 pages (1004 words) Essay
Sub-Prime Mortgage Crisis
3 pages (753 words) Essay
Time Trend Analysis
2 pages (502 words) Assignment
Got a tricky question? Receive an answer from students like you! Try us!