A Passenger on a Major Airline Continued to Use a Small

question 49

Essay

A passenger on a major airline continued to use a small computer device after the announcement was made to turn off all such devices because of the possibility that they would interfere with the electronic controls of the airplane.Explain whether you believe this action is illegal and/or unethical.Justify your response.

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Definitions:

Absorption Costs

Absorption Costs involve all the costs associated with manufacturing a product, including direct labor, materials, and overhead, allocated to the product.

Mark-Up Percentage

Mark-up percentage is the ratio of profit added to the cost price to determine the selling price.

Cost-Plus Pricing

A pricing method where the seller establishes the sale price by adding a defined markup to the cost per unit of the product.

Total Variable Cost

Total Variable Cost is the sum of all costs that vary directly with the level of production or sales volume; they increase as production increases and decrease as production decreases.