Investors would like to earn a 17% return on the companys $105 million of assets. Fixed costs to be $36,600,000 for the ski season. the resort serves 825,000 skiers and snow boarders each season. Variable costs are $8 per guest.

1. Would snow delights emphasize target costing or cost plus pricing. why?

2. If other resorts in the are charge $7 per day, what price should snow delights charge?

1. Would SnowDelights emphasize target costing or cost-plus pricing. Why? SnowDelights should emphasize a favorable reputation, managers will have control over pricing of course, they still eed to consider whether the approach to pricing because it has been able to differentiate its ski resort from others in the area Because of V price is within the range customers are willing to pay uay, wIlapce snouid SnowDelights charge? 2. If other resorts in the area charge $67 per day, what price should SnowDelights charge? Complete the following table to calculate the price SnowDelights should charge. (Round your answer to the nearest cent) Plus Plus Target revenue Divided by | Price per lift ticket If other resorts in the area charge $67 per day, what price should SnowDelights charge? The price is $competing ski resorts in the area. Given SnowDelights reputation, they should be able to charge $ a day without affecting their volume