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o meet the pricing objective, we first need to determine the regular price. The regular price is the cost of providing the rental plus the
o meet the pricing objective, we first need to determine the regular price. The regular price is the cost of providing the rental plus the markup. Cost of providing the rental = $4.00 Markup = $10.50 Regular price = Cost Markup Regular price = $4.00 $10.50 = $14.50 This is the price that "twilight" bowlers after 5 p.m. should pay. However, the problem states that the average total amount paid per player over the day should never be less than $15.00. This means that the regular price of $14.50 is not sufficient. To meet this requirement, we need to adjust the regular price. Let's denote the new regular price as x. Given that 75% of the bowlers are "twilight" bowlers and pay full price, and 25% are early bowlers and pay half price, the average price paid per player is: Average price = 0.75x 0.25(0.5*x) This should be equal to or greater than $15.00: 0.75x 0.25(0.5*x) >= $15.00 0.75*x 0.125*x >= $15.00 0.875*x >= $15.00 Solving for x gives: x = $15.00 / 0.875 = $17.14 So, the regular price should be set at $17.14. The sale price for early bowlers (half of the regular price) should be: Sale price
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