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Author Question: The Maize Eagles are evaluating ticket prices for its basketball games. Studies show that Friday and ... (Read 48 times)

dakota nelson

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on: Mar 6, 2021
The Maize Eagles are evaluating ticket prices for its basketball games. Studies show that Friday and Saturday night games average more than twice the number of fans compared to other days. The following information pertains to the stadium's normal operations per season:

Average fans per game (all games)2500fans
Average fans per Friday and Saturday night games3500fans
Number of home games per season30games
Stadium capacity3500seats
Variable operating costs per operating hour$3000
Marketing costs per season for basketball$139,500
Customer-service costs per season for basketball$25,000

The stadium is open for 4 operating hours on each day a game is played. All employees work by the hour except for the administrators. A maximum of one game is played per day and each fan has only one ticket per game. 

The stadium authority wants to charge more for games on Friday and Saturday. What is the minimum price that should be charged for peak attendance nights?
◦ $4.99
◦ $4.80
◦ $6.99
◦ $209.80
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Marked as best answer by dakota nelson on Mar 6, 2021

softEldritch

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Reply #1 on: Mar 6, 2021
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dakota nelson

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Reply 2 on: Mar 6, 2021
Excellent

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