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Best use of 8 days/7 nights in Iceland

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My husband, daughter (15) and I are going to be spending the week of August 4-11 in Iceland. We plan on renting a car and consider ourselves pretty active. We did a 5 night camping/hiking trek in Peru a couple months ago and my husband and I are both marathon runners. I don't mind a bit of driving, and frankly, I'm happy to do day hikes (and sleep indoors!) and I want to make sure I don't miss the important natural wonders. So, any suggestions? Should we plan on doing the entire Golden Circle or plan on concentrating our time in a few places?

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