Philadelphia Swim Club Is Planning for the Coming Year

Philadelphia Swim Club is planning for the coming year.Investors would like to earn a 10% return on the company's $30 million of assets.The company primarily incurs fixed costs to maintain the swimming pools.Fixed costs are projected to be $12,500,000 for the year.About 500,000 members are expected to swim each year.Variable costs are about $10 per swimmer.Philadelphia Swim Club is a price-taker and won't be able to charge more than its competitors who charge $37.00 for a membership.What profit will it earn in terms of dollars?

A) $11,000,000
B) $(12,500,000)
C) $1,000,000
D) $(1,000,000)