1. Big City Orchestra, Inc. produces a five-concert series every year. Its concert hall has 3,300 seats, all of which sell for $40 per ticket per concert. Variable costs are estimated to be $2 per ticket, related to printing, promotions, and mailings. Fixed costs, including salaries and operating expenses, total $427,500 per year. The orchestra averages 70% attendance per concert.

What is the breakeven point in dollars of ticket sales?

What is the breakeven point in tickets per concert?

What is the expected total sales in dollars and units (tickets)?

What is the projected net income at its expected sales level?

What is the orchestras safety margin in sales dollars and tickets?

How many tickets would need to be sold this year in order to earn enough profits to enable the orchestra to purchase a new pipe organ that costs $96,900? What would average attendance need to be to achieve this?