Anthony just returned from a lovely Caribbean vacation, where he splurged on a snorkeling excursion to a coral reef. It was such a fabulous experience, he dreamed about making a living doing just that- taking people out on a boat, showing them the reef, serving some snacks, and heading back to shore to sunbathe. 

 

Assuming he could reasonably take 12 people on each trip, taking two trips per day for 16 days out of each month (recognizing that weather conditions can limit his options), how much total revenue could Anthony generate if he charges $136 per person per tip? 

If his fixed costs amount to $14,592 per month, how much variable cost per person could be incur and still break even?

Answer rating: 100% (QA)

To calculate the total revenue Anthony could generate and the variable cost per person needed to bre... View the full answer