1. Would Winter Sports emphasize target costing or cost-plus pricing. Why? Winter Sports should emphasize a cost-plus approach to pricing because it has been able to differentiate its ski resort from others in the area. Because of its favorable reputation, managers will have some control over pricing. Of course, they still need to consider whether the cost-plus price is within the range customers are willing to pay. 2. If other resorts in the area charge 565 per day, what price should Winter Sports charge? Complete the following table to calculate the price Winter Sports should charge. (Round your answer to the nearest cent.) Fixed costs $ 33,750,000 7,500,000 Total variable costs Plus: Total costs $ 41,250,000 Plus: Desired profit 15,000,000 Target revenue Divided by: Number of skiers / snowboarders $ 56,250,000 750.000 S 75.00 Price per lift ticket If other resorts in the area charge $65 per day, what price should Winter Sports charge? The price is be able to charge competing ski resorts in the area. Given Winter Sports reputation, they should a day without affecting their volume