Maurice Tutor

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    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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    Phoniex University
    Oct-2001 - Nov-2016

Category > Management Posted 22 Feb 2018 My Price 6.00

Soleil Voyages

C VP, changing r ev enues and c o s ts.

Soleil Voyages SA is a travel agency specialising in flights between Paris and London. It books passengers on Air France. Air France charges passengers €1000 per round-trip ticket. Soleil Voyages receives a commission of 8% of the ticket price paid by the passenger. Soleil Voyages’s fixed costs are €22 000 per month. Its variable costs are €35 per ticket, including an €18 delivery fee by Lièvre-Express SA. (Assume each ticket purchased is delivered in a separate package; thus the delivery fee applies to every individual ticket.)

Required

1 What is the number of tickets Soleil Voyages must sell each month to (a) break even, and (b) make a target operating profit of €10 000?

2 Assume Tortue-Express SA offers to charge Soleil Voyages only €12 per ticket delivered.

How would accepting this offer affect your answers to (a) and (b) in requirement 1?

 

 

 


Answers

Maurice Tutor
(5)
Status NEW Posted 22 Feb 2018 10:02 PM My Price 6.00

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