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Question 2 (25 Marks) Al Khoud Airlines is planning to introduce a new flight service between Khasab in Musandam Governorate and Salalah in Dhofar Governorate. The following budgeted costing and pricing data are available: OMR188 OMR58 Ticket Price A Variable Cost for Price A Targeted Sold Seats for Price A: - Business - Tourism Fuel Costs (Fixed) OMR88 Ticket Price B OMR54 Variable Cost for Price B Targeted Sold Seats for Price B: 80 - Business 160 - Tourism 27,400 Other Fixed Costs 100 40 138,000 The Company assumes that: Tourism travelers would normally start their travel during one week, spend at least one weekend at their destination and return the following week or thereafter: Business travelers usually start and complete their travel within the same work week. They do not stay over weekends. 4 Page (a) Explain with proper numerical justifications whether Al Khoud Airlines could charge different prices (10 marks) of either Price A or Price B to business travelers and tourism travelers. du do Die (a) Explain with proper numerical justifications whether Al Khoud Airlines could charge different prices of either Price A or Price B to business travelers and tourism travelers. (b) What would be the logical assumptions in supporting your calculations in (a) above? 5| Page (c) Suggest at least TWO measures for each dimension in assessing Al Khoud's performance using (10 r the Balance Score Card approach