Subjects finance

Travel Agency Income 5Aaef3

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Travel Agency Income 5Aaef3


1. **State the problem:** Calculate the total gross income in PHP for the Travel Agency from a 4-day/3-night Singapore package for a family of four. 2. **Given data:** - Airfare cost: 100,000 PHP - Agency charge on airfare: 12% - Hotel accommodation cost: 360 USD - Agency charge on hotel: 18% - City tour/entrance cost: 8,000 PHP - Agency markup on city tour: 25% - Passport assistance fee: 2,500 PHP (service fee per child) - Number of children: 2 - Exchange rate: 1 USD = 56 PHP 3. **Calculate hotel accommodation cost in PHP:** $$\text{Hotel cost in PHP} = 360 \times 56 = 20160$$ 4. **Calculate agency charges:** - Airfare agency charge: $$100000 \times 0.12 = 12000$$ - Hotel agency charge: $$20160 \times 0.18 = 3628.8$$ - City tour markup: $$8000 \times 0.25 = 2000$$ 5. **Calculate passport assistance total fee:** $$2500 \times 2 = 5000$$ 6. **Calculate total gross income:** Sum all costs plus agency charges and fees: $$100000 + 12000 + 20160 + 3628.8 + 8000 + 2000 + 5000 = 151788.8$$ 7. **Final answer:** The total gross income earned by the Travel Agency is **151788.8 PHP**.