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Thornton Camps, Inc. leases the land on which it builds camp sites. Thornton is considering opening a new site on land that requires $2,450 of
Thornton Camps, Inc. leases the land on which it builds camp sites. Thornton is considering opening a new site on land that requires $2,450 of rental payment per month. The variable cost of providing service is expected to be $6 per camper. The following chart shows the number of campers Thornton expects for the first year of operation of the new site: Nov Feb. July 660 Total Jan. Mar. Apr May June Aug. Sept. Oct. Dec 150 260 210 210 330 510 660 360 390 150 310 4,200 Required Assuming that Thornton wants to earn $7 per camper, determine the price it should charge for a camp site in February and August. (Do not round intermediate calculations.) Price February August
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