SnowParadise operates a Rocky Mountain ski resort. The company is planning its in ticket pricing for the coming ski season. Requirement 1. If SnowParadise cannot reduce its costs, what profit will it eam? Stato your answer in dolars and as a percent of assets. Will investors be happy with the proft level? Complete the following table to calculate SnowParadise's projected income. Revenue at market price $ 63,800.000 Less: Total costs 40.250.000 $ 23,550,000 Operating Income (Round the percentage to the nearest hundredth percent, XXX%) SnowParadiso's projected operating Income (profit) as a percent of assets amounts to 12.82% Will investors be happy with this profit level? No, because the expected proft level does not meet the investors' target rotum on assets, Requirement 2. Assume SnowParadise has found ways to cut its foed costs to $32,000,000. What is its new target variable cost per sker/snowboarder? Complete the following table to calculate SnowParadise's new target variable cost per customer (Round your final answer to the nearest cont.) Revenue at market price Less: Desired profit Target full cost Less: Reduced level of fixed costs Target total variable costs Divided by number of skiers I snowboarders Target variable cost per skler / snowboarder SnowParadise operates a Rocky Mountain ski resort. The company is planning its in ticket pricing for the coming ski season. Requirement 1. If SnowParadise cannot reduce its costs, what profit will it eam? Stato your answer in dolars and as a percent of assets. Will investors be happy with the proft level? Complete the following table to calculate SnowParadise's projected income. Revenue at market price $ 63,800.000 Less: Total costs 40.250.000 $ 23,550,000 Operating Income (Round the percentage to the nearest hundredth percent, XXX%) SnowParadiso's projected operating Income (profit) as a percent of assets amounts to 12.82% Will investors be happy with this profit level? No, because the expected proft level does not meet the investors' target rotum on assets, Requirement 2. Assume SnowParadise has found ways to cut its foed costs to $32,000,000. What is its new target variable cost per sker/snowboarder? Complete the following table to calculate SnowParadise's new target variable cost per customer (Round your final answer to the nearest cont.) Revenue at market price Less: Desired profit Target full cost Less: Reduced level of fixed costs Target total variable costs Divided by number of skiers I snowboarders Target variable cost per skler / snowboarder
