Accounting and Finance For Business Essay Example for Free

Accounting and Finance For Business Essay firearm these tutorial tasks MUST be submitted individu all(prenominal)y, you be encourage to work through these tasks together with the other members of your team, twain during this weeks tutorial and in your own time. This is a good opportunity to ensure that all members of your group can calculate a breakeven smirch before and after-tax, a margin of safety and make believe a managerial decision regarding the addition of a overbold product (in this tutorial exercise, the addition of a new route). All answers must be inserted into the on-line form provided in LMS titled, Topic 9 tutorial Exercises.Kangaroo airlinesKangaroo Airlines in small local carrier located in the Kimberly region of Western Australia. All put are economy class and the following data is available1.What is the break-even point in consider of passengers per month?300002.What is the break-even point in sales revenue dollars per month?21000003.What is the break-e ven point in fleck of flights per month (round up)?3344.If Kangaroo Airline currently has on average 40,000 passengers per month what is Kangaroo Airlines margin of safety in number of passengers?5.If Kangaroo Airlines raises its average full passenger fare to $85 and theaverage variable constitutes per passenger leave remain at $30, it is estimated that the load factor will decrease to 60 percent. What will be the break-even point in number of flights (round up)?6.The cost of aviation fuel is a significant variable cost to any airline. If fuel charges outgrowth by $8 per barrel, it is estimated that variable cost per passenger will increase to $40 however that average full passenger fare will remain at the master $70 per passenger as will the original load factor of 75 percent. What will be the new break-even point in number of passengers?7.The cost of aviation fuel is a significant variable cost to any airline. If fuel charges increase by $8 per barrel, it is estimated that variable cost per passenger will increase to $40 however the average full passenger fare will remain at the original $70 per passenger as will the original load factor of 75%. What will be the new break-even point in number of passengers? What will be the new break-even point in number of flights (round up)?8.Kangaroo Airlines has experienced an increase in average variable cost per passenger to $35 and an increase in fixed costs to $1,500,000. Kangaroo Airlines has decided to increase the average full passenger fare to $80. How many of passengers are needed to generate an after-tax profit of $400,000, if the company tax rate is 30 percent (round up)?