WinterParadises operates a Rocky Mountain ski resort. The company is planning its lift ticket pricing for the coming ski season. Investors would like to earn a $19\%$ return on the company's $$110$ million of assets. The company incurs primarily fixed costs to groom the runs and operate the lifts. WinterParadises projects fixed costs to be $$37,200,000$ for the ski season. The resort serves $830,000$ skiers and snowboarders each season. Variable costs are $$12$ per guest. Currently, the resort has such a favorable reputation among skiers and snowboarders that it has some control over the lift ticket prices.

Would WinterParadises emphasize target costing or cost$-$plus pricing. Why?

If other resorts in the area charge $$60$ per day, what price should WinterParadises charge?