Hilltop Golf Course Is Planning for the Coming Golfing Season

Hilltop Golf Course is planning for the coming golfing season.Investors would like to earn a 10% return on the company's $50,000,000 of assets.The company primarily incurs fixed costs to groom the greens and fairways.Fixed costs are projected to be $32,000,000 for the season.About 500,000 rounds of golf are expected to be played each year.Variable costs are about $17 per round of golf.Hilltop golf course has a favorable reputation in the area and,therefore,has some control over the sales price of a round of golf.Using a cost-plus pricing approach,what sales price should Hilltop charge for a round of golf to achieve the desired profit?

A) $64
B) $81
C) $47
D) $91