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Canoe maintenance Licenses and permits Vehicle leasen Station lease Advertising Operating costs Fixed Conte $ 2,650 3,350 5,750 7,270 6,350 21,350 Variable costs $ 6.00
Canoe maintenance Licenses and permits Vehicle leasen Station lease Advertising Operating costs Fixed Conte $ 2,650 3,350 5,750 7,270 6,350 21,350 Variable costs $ 6.00 0 0 0 4.00 4.00 Quality Craft Rentals began business with a $28,500 expenditure for a fleet of 30 canoes. These are expected to last 10 more years, at which time a new fleet must be purchased. Rentals have been stable at about 7100 per year. Required: Matt is happy with the steady rental average of 7100 per year. For this number of rentals, what price should he charge per rental for the business to make an annual 13% before tax return on assets using life-cycle costs? (Do not round Intermediate calculations. Round your answer to 2 decimal places.) Price per rental
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