The airline industry is very competitive - management is under constant pressure to improve business profits. Ideas that could improve profits include the following:

a increasing the price of tickets b reducing the number of flight attendants c reducing the number of flights on which meals are served d serving smaller meals or serving snacks instead of meals e limiting the size of - or eliminating - salary increases f reducing the number of baggage handlers.

Required:

For each of these ideas, describe the effect the idea would have on each of the budgets and on the projected financial statements. What other issues should management consider in deciding whether to implement any of these ideas?