## Answers

a)

Status quo | Alternate - Drop U.S. to Europe | Difference | ||

Revenue | 9.06 | 6.17 | (2.89) | Decrease |

Less: Variable costs | 3.94 | 2.24 | (1.70) | Decrease |

Contribution margin | 5.12 | 3.93 | (1.19) | Decrease |

Less: Fixed costs | 4.27 | 3.42 | (0.85) | Decrease |

Operating profit | 0.85 | 0.51 | (0.34) | Decrease |

Fixed costs = $4.27 million

Decrease in fixed costs by dropping U.S. to Europe = 4.27 x 20%

= $0.85 million

Fixed costs after dropping U.S. to Europe = 4.27 - 0.85

= $3.42 million

b)

Freeflight should not drop route between Europe and the United States.

.#### Similar Solved Questions

1 answer

##### 1. Present a function that has only one number in the Domain and only one number...

1. Present a function that has only one number in the Domain and only one number in the Range 2. Find differences and similarities of the following functions (1) y =x, (2) y=va, y=ese x? (3) y =lx\,(4) , and (5) y = X. 3. Sketch the graph of the curve y-V??-5x+6 =*-V(x-2)(x-3). + 4. Draw the followi...

1 answer

##### Consider the unity-feedback system shown below: R(s) E(s) input: r(t), output: y(t) C(s) P(s) error: e()...

Consider the unity-feedback system shown below: R(s) E(s) input: r(t), output: y(t) C(s) P(s) error: e() r(t) y(t) closed-loop transfer-function: Hyr(sD t the closed-loop transfer-function be Hyr(s) Y (s) R(s) Let the transfer-function of the plant be P(s) 10 s (s 1) (s 5) The open-loop transfer-fun...

1 answer

##### QUESTION 8 What is the maximum number of alleles that a given human adult (with 23...

QUESTION 8 What is the maximum number of alleles that a given human adult (with 23 pairs of chromosomes) can have at any particular genetic locus? O a. 1 Ob.2 OC. 23 O d. 46 Oe. There is no maximum number....

1 answer

##### The Leaning Tower of Pisa is an architectural wonder. Engineers concerned about the tower's stability have...

The Leaning Tower of Pisa is an architectural wonder. Engineers concerned about the tower's stability have done extensive studies of its increasing tilt. Measurements of the lean of the tower over time provide much useful information. The following table gives measurements for the years 1975 to ...

1 answer

##### Help me solve this question asap Explain the following observations: (a) Phenol is soluble in aqueous...

Help me solve this question asap Explain the following observations: (a) Phenol is soluble in aqueous solution of sodium hydroxide but cyclohexanol is not. LO: 8.6(b)i reacts with iodine in aqueous solution of sodium hydroxide to produce yellow ILO: 8.5(d)] precipitate but 1-propanol does not. om...

1 answer

##### During 2017, Eaton Co. introduced a new product carrying a two-year warranty against defects. The estimated...

During 2017, Eaton Co. introduced a new product carrying a two-year warranty against defects. The estimated warranty costs related to dollar sales are 4% within 12 months following sale and 6% in the second 12 months following sale. Sales and actual warranty expenditures for the years ended December...

1 answer

##### 2. When a neutralization reaction was carried out using 100.0 ml of 0.7890M NH3 water and...

2. When a neutralization reaction was carried out using 100.0 ml of 0.7890M NH3 water and 100.0 ml of 0.7940M acetic acid, AT was found to be 4.76 "C The specific heat of the reaction mixture was 4.104 -1K-1 and its density was 1.03 g ml 1. The calorimeter constant was 3.361 K-1 1) Calculate AH ...

1 answer

##### [1] (15 points) Rewrite the following integral as an equivalent iterated integral in 3 different ways....

[1] (15 points) Rewrite the following integral as an equivalent iterated integral in 3 different ways. ע1 6 VAL.* $(3,2, 2)dzdydz...

1 answer

##### Asteroid colliding

Two asteroids of equal mass collide with a glancing blow. Asteroid A, which was initially traveling at 40.0 m/s, is deflected 30 degrees from its original direction,while asteroid B travels at 45 degrees to the original direction of A.a) Find the speed of each asteroid after the collision?b) What fr...

1 answer

##### Fat Won't Make You Fat: Importance of Healthy Fat.

Fat Won't Make You Fat: Importance of Healthy Fat....

2 answers

##### A neutron star has a mass of 2.0 × 1030 kg (about the mass of our...

A neutron star has a mass of 2.0 × 1030 kg (about the mass of our sun) and a radius of 5.0 × 103 m (about the height of a good-sized mountain). Suppose an object falls from rest near the surface of such a star. How fast would this object be moving after it had fallen a distance of 0.022 ...

1 answer

##### PLEASE ROUND TO THE DECIMAL PLACES GIVEN. The following regression output was obtained from a study...

PLEASE ROUND TO THE DECIMAL PLACES GIVEN. The following regression output was obtained from a study of architectural firms. The dependent variable is the total amount of fees in millions of dollars. Predictor Constant X2 Coefficient 9.387 0.232 -1.214 -0.273 0.642 -0.060 SE Coefficient 3.069 0.204 0...

1 answer

##### Find the length of the missing side? using the Pythagorean Theorem of +6²=C? find the answer...

Find the length of the missing side? using the Pythagorean Theorem of +6²=C? find the answer as a completely Simplified Square root. 17 9.286 b.av18 d. 6...

1 answer

##### 8. Rent versus buy analysis - Part 1 Which Is Better: To Rent or To Buy?...

8. Rent versus buy analysis - Part 1 Which Is Better: To Rent or To Buy? The decision of whether to rent or buy housing is a personal decision that is based on both your lifestyle and your finances. While most financial experts argue that the financial aspect of the decision is important, it is also...

1 answer

##### Wendell's Donut Shoppe is investigating the purchase of a new $34,600 donut-making machine. The new machine...

Wendell's Donut Shoppe is investigating the purchase of a new $34,600 donut-making machine. The new machine would permit the company to reduce the amount of part-time help needed, at a cost savings of $6,200 per year. In addition, the new machine would allow the company to produce one new style ...

1 answer

##### 7. Assume that A and B are events that both occur with probability 0.975. They may...

7. Assume that A and B are events that both occur with probability 0.975. They may be, for example, events A: "Null hypothesis I that is true is not rejected" and B: "Null hypothesis 2 that is true is not rejected". Use Bonferroni's inequality to estimate the lowed bound for the ...

1 answer

##### When we double the voltage we double the------?

When we double the voltage we double the------?...

1 answer

##### How do you find the vertical, horizontal or slant asymptotes for #(2x+1)/(x^2-5)#?

How do you find the vertical, horizontal or slant asymptotes for #(2x+1)/(x^2-5)#?...

1 answer

##### 348 Section 3 Surgical Procedures Case Studies CASE STU DY 1 Shannon is a 23-year-old primipara...

348 Section 3 Surgical Procedures Case Studies CASE STU DY 1 Shannon is a 23-year-old primipara who has just been admitted to the labor and delivery unit Room 3 for Dr. Templeton. She has had a normal pregnancy, and sonograms confirm only one fetus with a cephalic pre sentation. Her cervix is dilate...