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Vernon Camps, Inc. leases the land on which it builds camp sites. Vernon is considering opening a new site on land that requires $4,500 of
Vernon Camps, Inc. leases the land on which it builds camp sites. Vernon is considering opening a new site on land that requires $4,500 of rental payment per month. The variable cost of providing service is expected to be $8 per camper. The following chart shows the number of campers Vernon expects for the first year of operation of the new site: Jan 330 Feb 350 Mar 360 Apr 380 May 640 June 620 July 760 Aug. 770 Sept. 460 Oct. 490 Nov. 4 10 Dec. 430 Total 6,000 Required Assuming that Vernon wants to earn $9 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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