Re: Booked out Melb XPTs

["Doug Rosser" <drosser@btr.com.au>]

Sorry David,
You have confused marginal costing (which is what you have calculated) with
accounting costing. Which is what the pollies are using where they add on
that mysterious item called overhead. The net result is that the profit or
loss can be anything you want.
Look at it another way.
Do the business plan from a provate operators point of view. look at the
market, costs, margins etc and then see if you think it is a goer.
To be realistic to pick up the traffic you have to compete with the buses,
both in fare and frequency. Ie it has to cost less than $45 (the avge bus
fare) per passenger ....
Doug
David Bromage wrote in message <378C2F6B.9D7F207D@omni.com.au>...

>Grand total, $90.11 per seat. Add a little more for sleepers and first
class,
>take off some for concessions. Even so, I fail to see how the NSW
government
>can support its claim they subsidise Countrylink passengers to the tune of
>$80 per ticket!
>
>Cheers
>David