SnowDreams operates a Rocky Mountain ski resort. The company is planning its lift-ticket pricing for the coming ski season. Investors would like to earn a 15% return on the company's $145 million of assets. The company incurs primarily fixed costs to groom the runs and operate the lifts. SnowDreams projects fixed costs to be $35,500,000 for the ski season. The resort serves about $825,000 Skiers and snowboarders each season. Variable costs are about $14.00 per guest. Currently, the resort has such a favourable reputation among skiers and snowboarders that it has some control over the lift-ticket prices. 1 . Would SnowDreams emphasize target costing or cost-plus pricing? Why? 2. If other resorts in the area charge $79 per day, what price should SnowDreams charge?