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Investors would like to earn a 12% return on investment on the company's $111,000,000 of assets. Winter Run projects fixed costs to be $37,000,000 for

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Investors would like to earn a 12% return on investment on the company's $111,000,000 of assets. Winter Run projects fixed costs to be $37,000,000 for the ski season. The resort serves about 680,000 skiers and snowboarders each season. Variable costs are about $13 per guest. Last year, due to its favorable reputation, Winter Run was a price-setter and was able to charge $5 more per lift ticket than its competitors without a reduction in the number of customers it received. Assume that Winter Run's reputation has diminished and other resorts in the vicinity are charging only $82 per lift ticket. Winter Run has become a price-taker and will not be able to charge more than its competitors. At the market price, Winter Run managers believe they will still serve 680,000 skiers and snowboarders each season. Investors would like to earn a 12% return on investment on the company's $111,000,000 of assets. Winter Run projects fixed costs to be $37,000,000 for the ski season. The resort serves about 680,000 skiers and snowboarders each season. Variable costs are about $13 per guest. Last year, due to its favorable reputation, Winter Run was a price-setter and was able to charge $5 more per lift ticket than its competitors without a reduction in the number of customers it received. Assume that Winter Run's reputation has diminished and other resorts in the vicinity are charging only $82 per lift ticket. Winter Run has become a price-taker and will not be able to charge more than its competitors. At the market price, Winter Run managers believe they will still serve 680,000 skiers and snowboarders each season

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