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A given concert venue charges 100 dollars per ticket and has 100 seats. Since some people do not show up at concerts even after purchasing
A given concert venue charges 100 dollars per ticket and has 100 seats. Since some people do not show up at concerts even after purchasing tickets, concerts are often overbooked ~ that is, more than 100 tickets are sold. If somebody who has purchased a ticket shows up and can't enter the concert, they are refunded their 100 dollars anda further 100 for the inconvenience. Based on historical data, the probability that a person will show up for a concert (given that they have purchased a ticket) is 0.985. What is the maximum number N of tickets that the concert venue should sell if they wish to maximize the expected income
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