Winter Sports ine. operates a Rocky Mountain ski resort. The compary is planning its Ift ticket pricing for the coming ski season. Investors would like to earn a 15\% retur on the compary's $100 milion of assets. The company incurs primarly foced costs to groom the runs and operate the lfts. Winter Sports projects fixed costs to be $33,750,000 for the ski season. The resort serves 750,000 skiers and snoaboarders each seasan. Variable costs are $10 per guest. Currently, the resort has such a favorable reputation among skiers and snowboarders that it has some control over the it ticket prices. 1. Would Winter Sports emphasize target costing or cost-plus pricing. Why? 2. If other resorts in the area charge $65 per day, what price should Wnter Sports charge? 1. Would Witer Sports emphasize target costing or cost-plus pricing. Why? Winter Sports should emphasize a (1) approach to pricing because it has been able to differentiate its ski resort from others in the area. Because of its favorable reputation, managers will have (2) contral over pricing. Of course, they still need to consider whether the (3) price is within the range customers are willing to pay. 2. If other resorts in the area charge $655 per day, what price should Winter Sports charge? Complete the following table to caloulate the price Winter Sports should charge. (Round your answer to the nearest cent.) If other resorts in the area charge $65 per day, what price should Winter Sports charge? The price is competing ski resarts in the area. Given Wnter Sports reputation, they should be able to charge a day without affecting their volume