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Baird Camps, Inc. leases the land on which it builds camp sites. Baird is considering opening a new site on land that requires $3,400 of
Baird Camps, Inc. leases the land on which it builds camp sites. Baird is considering opening a new site on land that requires $3,400 of rental payment per month. The variable cost of providing service is expected to be $6 per camper. The following chart shows the number of campers Baird expects for the first year of operation of the new site:
Jan. | Feb. | Mar. | Apr. | May | June | July | Aug. | Sept. | Oct. | Nov. | Dec. | Total |
410 | 390 | 400 | 420 | 760 | 660 | 800 | 810 | 500 | 530 | 650 | 470 | 6,800 |
Required
Assuming that Baird wants to earn $10 per camper, determine the price it should charge for a camp site in February and August. (Do not round intermediate calculations.)
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