Wright Development purchases, develops, and sells commercial
building sites. As the sites are sold, they are cleared at an
average cost of $2,500 per site. Storm drains and driveways are
also installed at an average cost of $5,500 per site. Selling costs
are 10 percent of sales price. Administrative costs are $420,000
per year. During 2016, the company bought 1,000 acres of land for
$5,000,000 and divided it into 200 sites of equal size. The average
selling price per site...