Planning Future Sales Short-term automobile rentals are Snap Rentals, Inc.’s specialty. Average variable operating costs have been $20 per day per automobile. The company owns 50 automobiles. Fixed operating costs for the next year are expected to be $150,000. Average daily rental revenue per automobile is expected to be $40. Management would like to earn a profit of $50,000 during the year. 1. Calculate the total number of daily rentals the company must have during the year to earn the targeted profit. ? daily rentals 2. On the basis of your answer to 1, determine the average number of days each automobile must be rented. ? days per auto per year 3. Determine the total revenue needed to achieve the targeted profit of $50,000. $ ? 4. What would the total rental revenue be if fixed operating costs could be lowered by $5,000 and the targeted profit increased to $70,000? $ ?