# Quiz 32: Tashtego

Business

Profit contribution that can be earned can be calculated as follows: Profit contribution : It is the contribution calculated by finding out the difference of the total costs from the revenue. Referring exhibits 1 and 2 the contribution can be summarized as below: The following spreadsheet shows the calculation of the contribution : Thus, the profit contribution that can be earned by carrying 1 ton of tapioca is \$1.26. The profit contribution of carrying 1 ton of merchandise cannot be estimated as full information regarding the portage sues and the cargo cost for the same is not mentioned.

The contribution that can be earned on one round trip by Tashtego between Singapore and Balik Papan can be calculated as follows: Profit contribution: It is the contribution that is calculated by finding out the difference of the total costs from the revenue. The following spreadsheet shows the calculation of the total contribution: Thus, the profit contribution that can be earned is \$20274.7.

The incremental trip cost of Tashtego ship on the round trip between Singapore and Balik papan on a large vessel can be calculated using the exhibits 2 and 3. The following spreadsheet shows the calculation of incremental trip cost : Thus, the cost per round is \$17,541.20 and contribution profit per year is \$869,690.