A baseball team plays in a stadium that holds 52,000 spectators. With the ticket price at $10, the average attendance at recent games has been 21,000. A market survey indicates that for every dollar the ticket price is lowered, attendance increases by 3000. (a) Find a function that models the revenue in terms of ticket price. (Let x represent the price of a ticket and R represent the revenue.) R(x) = (b) Find the price that maximizes revenue from ticket sales. $8.5 (C). What ticket price is so high that no revenue is generated? Enter a number
A baseball team plays in a stadium that holds 52,000 spectators. With the ticket price at $10, the average attendance at recent games has been 21,000. A market survey indicates that for every dollar the ticket price is lowered, attendance increases by 3000. (a) Find a function that models the revenue in terms of ticket price. (Let x represent the price of a ticket and R represent the revenue.) R(x) = (b) Find the price that maximizes revenue from ticket sales. $8.5 (C). What ticket price is so high that no revenue is generated? Enter a number
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
Please complete part (a) and part (c). Circle your answer for a thumbs up :)
Expert Solution
Step 1
Information Given:
Total number of Spectators=52,000
Ticket price(x)=$10
average attandence= 21,000
Let, ticket price=P
the amount by which ticket price is lowered= 10-p
Increase in attendence=3000(10-p)
attendence=21000+3000(10-p)=51,000-3000p
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (12th Edition)
Economics
ISBN:
9780134078779
Author:
Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:
PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:
9780134870069
Author:
William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:
PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:
9781305585126
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:
9781337106665
Author:
Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:
Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-…
Economics
ISBN:
9781259290619
Author:
Michael Baye, Jeff Prince
Publisher:
McGraw-Hill Education