Builders builds townhomes in a new subdivision just outside of $.$ Land and labour are$$ cheap, and competition among developers is fierce. The homes in the subdivision are identical to one$$ another, but buyers can upgrade features by paying the difference. $$Builders$\text{'}$ cost per developed sublot are as$$ follows:Land. $..............................$

$$54,000$

Construction. $........................$

$$123,000$

Landscaping. $........................$

$$6,400$

Variable marketing costs. $..............$

$$1,800$

LOADING... $($Click the icon to view the$$ costs.$)$

Builders would like to earn a profit of $16\%$ of the variable cost of each home sale. Similar homes offered by competing builders sell for $250,000$ each.