1.assume that FlyRite won the contract with a bid of costs plus 15 percent, where cost refers to cost per flying hour. compute the original expected profit of the contract
2. compute the profit (or loss) earned by FlyRite for the first six months of activity. assume that the planned costs were equal to the actual costs. also, assume that 50 percent of the fixed costs for the year have been incurred. compute the profit that FlyRite should have earned during the first six months, assuming that 50 percent of the hours originally projected (for each aircraft type) had been flown.
3. compute the profit (or loss) that the contract would provide FlyRite assuming the original price per flying hour and using the state agency's revised projection of hours needed
4. assume that the state has agreed to pay what is necessary so that FlyRie receives the profit originally expected in the contract. this will be accomplished by revising the price paid per flying hour based on the revised estimates of flying hours what is the new price per flying hour