Happy Travels Inn, a proposed 40-room hotel with a fully equipped restaurant, will cost $900,000 to construct. An estimated additional $100,000 will be invested in the business as working capital. Of the total $1,000,000 investment, $500,000 is to be secured from the ABC Bank at the rate of 10 percent interest. The projected occupancy rate is 80 percent for the year. The owners desire a 15 percent return on equity after the corporation pays income taxes of 40 percent. The estimated undistributed expenses, not including income taxes and interest expense, total $450,000. The estimated direct expenses of the rooms department are $6 for each room sold. Consider a year to have 365 days. Assume that the restaurant will break even. Required: find the required ADR.