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Business, 11.01.2020 11:31 anhthule1011
Mountaintop golf course is planning for the coming season. investors would like to earn a 12% return on the company's $45 million of assets. the company primarily incurs fixed costs to groom the greens and fairways. fixed costs are projected to be $20,000,000 for the golfing season. about 400,000 golfers are expected each year. variable costs are about $15 per golfer. mountaintop golf course has a favorable reputation in the area and therefore, has some control over the price of a round of golf. using a costâplus approach, what price should mountaintop charge for a round of golf?
a. $51.50
b. $78.50
c. $ 0.21
d. $71.00
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Mountaintop golf course is planning for the coming season. investors would like to earn a 12% return...
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