Question: As a nal consideration, Mayala has a unique idea. She is wondering if the land can be cleared and then rented out in small pieces

As a nal consideration, Mayala has a unique idea.
As a nal consideration, Mayala has a unique idea. She is wondering if the land can be cleared and then rented out in small pieces to people in town who don't have gardening/farming space. Ma yala has calculated that she can create 200 ten-by- ten feet "blocks" separated by walking paths. Each block can be rented out to farmers/gardeners for $200 per summer. Additionally, she can offer watering and weeding for $20 per block per month for those w ho can't commit to visiting their patch regularly. To do this work, there would be full-time worker employed for four months of the year, earning $20 per hour. This would be an added cost on top of regular farming expenses. Mayala believes she can advertise about these patches in the local paper for $100 a month for four months and achieve 60% of total rental capacity in the rst year [the same advertising strategy would be used each year). Of course, this is an estimate so the rest of the land may need to remain vacant just in case. She believes the occupancy rate will increase by 10% a year (from 60% to 70% to 80%, etc) until the farm is full. Under this arrangement, the land would need to cleared each fall, so costs could add up quickly. Regardless, Lily is interested in pursuing the idea if it is profitable enough. In addition to protability analysis, Mayala wants to know about the tax and business ethics elements of all plans

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