HP Snowd operates a Rocky Mountain ski resort. The company is planning the pricing for the coming season Ivestors would like to earn a 17% on the companys 105 of me. The company incurs primarily feed costs to groothers and operate the Snow Paradise feed costs to be 100.000 for the season. The resort svou 25.000 siers and snowboarders schon becosts are $8 pers The resort had such a favorable reputation og skers and borders that it had some control over the chos Asume throw Paradise's reputation has diminished and the resorts in the vicinity are changing only period Snowd has become a price and won't be able to charge more than its competitors. At the market SnowParadies mange believe they will serve 125.000 skiers and towboarders wachsen 1. Sroweradie a reduce cost, what profit will your answer in and a percent of investor beyin the profit lever? Show your analysis Complete the wr wble to calculate troradio's projected noe and exces profter hotel. (Use parere sign to show a protot) Reveres market price Les: Total Compared to the desiresting income WARILA Requirements 1. If SnowParadise can't reduce its costs, what profit will it earn? State your answer in dollars and as a percent of assets. Will investors be happy with the profit level? Show your analysis. 2. Assume that SnowParadise has found ways to cut its fixed costs to $33.3 million. What is its new target variable cost per skier/snowboarder? Compare this to the current variable cost per skier/snowboarder. Comment on your results