decision making

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September 19, 2020 at 4:46 am #586103
Janeline
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Average one-way fare: $500
Food & beverage costs per passenger (no charge to passenger): $70
Variable fuel cost: $10000 per flight.
Commission to travel agents paid by Asia Airlines (All tickets are booked by travel agents): 10% of fare.
Fixed annual lease costs allocated to each flight: $48000
Fixed ground services (baggage handling, maintenance etc) costs allocated to each flight: $6000
Fixed flight crew salaries allocated to each flight: $5000
Can i know which is the relevant cost?
September 19, 2020 at 9:27 am #586118
John Moffat
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There is no point in simply typing out a full question and expecting to be provided with a full answer.
You must have an answer in the same book in which you found the question. Ask about whatever it is in the answer that you are not clear about and then I will explain.
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