If it costs $120,000 for the airline company to fly the 200-seat plane across the country, then they should never sell a ticket for less than $600. Group of answer choicesTrue/False?

Question

Business

Saul Nolan

10 March, 19:45

If it costs $120,000 for the airline company to fly the 200-seat plane across the country, then they should never sell a ticket for less than $600. Group of answer choicesTrue/False?

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Answers (1)

Know the Answer?

Lucy Lyons · Answer 1

The statement is True.

Explanation:

The airline company should not sell a ticket for less than $600 because, it costs $120,000 to fly a 200 seats plane which means cost per seat is $600 ($120,000/200 seats). Selling the ticket for less than $600 will result in a loss for the airline company. If the price for a seat in a plane is set more than $600 will be beneficial for the company.