Muncey Fishing Charters consists of one boat with a capacity of 15 passengers, not including the crew. Muncey offers only one charter package: a one-half day fishing trip off the coast. Because of weather, crew availability, and so on, Muncey operates an average of 20 days a month and only makes one trip on the day it operates. Price and cost information for Muncey follows:

A passenger-trip is considered to be one passenger per trip.

Required

a. Compute Muncey’s break-even point in number of passenger-trips per month.

b. How many passenger-trips per month must Muncey sell to earn $6,650 after taxes?

c. The owner of Muncey decides it is not worth staying in business unless it can earn at least $10,000 per month after taxes. Is this feasible? Explain. 

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Selling price per passenger-trip. Variable cost per passenger-trip. Fixed costs per month. Income tax rate... $ $ 325 75 $65,000 24%