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33) Philadelphia Swim Club is planning for the coming year. Investors would like to eam a 10% return on the company's 537,000,000 of assets. The

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33) Philadelphia Swim Club is planning for the coming year. Investors would like to eam a 10% return on the company's 537,000,000 of assets. The company primarily incurs fixed costs to maintain the swimming pool. Fixed costs are projected to be $12,600,000 for the year. About 540,000 members are expected to swim cach year. Variable costs are about $13 per swimmer. The Philadelphia Swim Club has a favorable reputation in the area and therefore, has some control over the membership price. Using a cost-plus approach, what price should Philadelphia Swim Club charge for a membership? A) $43.19 B) $36,33 C) $29.48 D) 56.85 34) Philadelphia Swim Club is planning for the coming year. Investors would like to earn a 10% return on the company's $36,000,000 of assets. The company primarily incurs fixed costs to maintain the swimming pools. Fixed costs are projected to be $12,500,000 for the year. About 520,000 members are expected to swim each year. Variable costs are about $12 per swimmer. Philadelphia Swim Club is a price-taker and won't be able to charge more than its competitors who charge $40 for a membership. What profit will it earn in terms of dollars? A) $6,779,960 B) $12,500,000 C) $2,060,000 D) $(2,060,000) 35) Philadelphia Swim Club is planning for the coming year. Investors would like to eam a 10% return on the company's $35,000,000 of assets. The company primarily incurs fixed costs to maintain the swimming pools. Fixed costs are projected to be $13,000,000 for the year. About 510,000 members are expected to swim each year. Variable costs are about $11 per swimmer. Philadelphia Swim Club is a price-taker and won't be able to charge more than its competitors who charge $11 for a membership. What profit will it earn as a percent of assets? A) Profit of 6.57% B) Loss of 6.57% C) Loss of 53.17% D) Profit of 37.14%

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