Question
A student at OSU plans to open a hot dog stand inside the football stadium during home games. There are seven home games scheduled for
A student at OSU plans to open a hot dog stand inside the football stadium during home games. There are seven home games scheduled for the upcoming season. She must pay the OSU athletic department a vendor's fee of $3,000 for the season. Her stand and other equipment will cost her $4,500 for the season. She estimates that each hot dog she sells will cost her $0.35 per hotdog. Based on the athletic department's forecast and other information, she anticipates that she will sell approximately 2,000 hot dogs during each game.
a) What will her revenue, total cost, and profit be if she is currently charging $1.75 per hot dog?
b) At what price would she be able to break even?
c) If she plans on making a profit of $3000 per game, how much would she need to charge?
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