Health Cruises Case

Read the Health Cruises Case and submit answers to the following questions.

1.    What is the minimum number of passengers Health Cruises must sign up by November 20th to break even?  [show your calculations]

2.  Should Health Cruises go ahead with the cruise since 200 people have signed up by November 14th?  Why or why not?

3.    The advertising agency has proposed two alternative campaigns to help fill the boat.  One will cost $6000 and the other would cost $15,000.  Which would you suggest? [again, show your calculations].

4.  Should Health Cruises consider cutting its prices for this trip?  Why or why not?  What other factors could impact the go/no-go decision in addition to the break even?

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