Answer
To calculate the breakeven point in the number of package tours, use the formula:
Breakeven Point (in tours) = Fixed Costs $\div $ (Selling Price per Tour - Variable Cost per Tour)
Breakeven Point = $570,000 \div$ (\$7,500 - \$6,300)
Breakeven Point ≈ 200 package tours
Work Step by Step
To calculate the breakeven point in the number of package tours, use the formula:
Breakeven Point (in tours) = Fixed Costs $\div$ (Selling Price per Tour - Variable Cost per Tour)
Breakeven Point = $570,000 \div$ (\$7,500 - \$6,300)
Breakeven Point ≈ 200 package tours
