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Mall Simpson owns and opetales Qualty Craft Rentak, which offers canoe tentak and shutlk service on Ihe Nantahala Rivet. Customers can rent canoes at one

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Mall Simpson owns and opetales Qualty Craft Rentak, which offers canoe tentak and shutlk service on Ihe Nantahala Rivet. Customers can rent canoes at one station, entet the tivet there, and exit at one of two designated locations to catch a shuttle that returns them to their vehicles at the station they entered. Following ate the costs involved in providing this service each year: Qualty Crall Rentak began business with a $29,000 expenditure for a fleet of 30 cances. These are expecled to last 10 mote years, al which time a new lleet must be purchased. Rentals have been stable at about 7,200 per yeat. Required: Malt is happy with the steady rental avetage of 7,200 per yeat. Fot this numbet of rentals, what pice shoukd he charge per rental for the business to make an annual 14\% before tax retum on assets using lfe cycle costs? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Mall Simpson owns and opetales Qualty Craft Rentak, which offers canoe tentak and shutlk service on Ihe Nantahala Rivet. Customers can rent canoes at one station, entet the tivet there, and exit at one of two designated locations to catch a shuttle that returns them to their vehicles at the station they entered. Following ate the costs involved in providing this service each year: Qualty Crall Rentak began business with a $29,000 expenditure for a fleet of 30 cances. These are expecled to last 10 mote years, al which time a new lleet must be purchased. Rentals have been stable at about 7,200 per yeat. Required: Malt is happy with the steady rental avetage of 7,200 per yeat. Fot this numbet of rentals, what pice shoukd he charge per rental for the business to make an annual 14\% before tax retum on assets using lfe cycle costs? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

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