Business
Business, 18.12.2019 06:31, ptrlvn01

Rosemont tennis is planning for the coming year. investors would like to earn a 13% return on the company’s $23245058 million of assets. the company primarily incurs fixed costs to maintain the tennis courts. fixed costs are projected to be $10755370 for the year. about 500,000 court time hours are expected to be played each year. variable costs are about $5 per hour of court time. the rosemont country club and tennis courts has a favorable reputation in the area and therefore, has some control over the price per hour of court time. using a cost-plus approach, what price should rosemont tennis charge for an hour of court time?

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