Lappin Community Transit $($LCT$)$ is a not$-$for$-$profit mostly volunteer organization that provides transportation to seniors. As a not$-$for$-$

profit, it refers to an excess of revenues over costs as a "surplus" and an excess of costs over revenues as a "deficit." LCT prices a

round$-$trip ticket to downtown at $$2\mathrm{.}90$ per trip. The variable costs of a ride are $$4\mathrm{.}65.$ The fixed costs of LCT$,$ primarily for its paid staff

and van leases, are $$88,000$ annually. The town of Lappin provides LCT with a flat subsidy, partially funded by downtown merchants,

of $$148,600$ annually plus a per$-$trip subsidy of $$0\mathrm{.}25.$

Required:

a$.$ What is the break$-$even point for LCT in terms of number of round$-$trip ticket sold?

b$.$ The director of LCT expects $23,600$ riders this year and asks you if it will operate at a surplus or deficit. What is your answer?

Complete this question by entering your answers in the tabs below.

What is the break$-$even point for LCT in terms of number of round$-$trip ticket sold?

Note: Do not round intermediate calculations. Round up your answer for "trips" to the nearest whole number.