You and your team are continuing to manage your hotel on Lucro Island.The hotel has performed well financially during the last financial year, ending 30 June 2020.The management team aims to earn a profit of $100,000 in the next financial year.Your hotel comprises all double rooms.The expected average selling price of each room is $225 per night.The expected average variable cost per double room per night is $90.The hotel is expected to have the following fixed costs:

• Administration expense of $56,000 per year
• Advertising expense of $5,400 per quarter
• Utilities expense of $4,000 per month
• Depreciation expense of $30,000 per year
• Maintenance expense of $80,000 per year

To better understand the financial performance of your hotel in terms of Cost, Volume, Profit (CVP) analysis, calculate the following:

1. The contribution margin per unit per night for thedouble room.(1 Mark)

2. Fixed cost for the year.