Question
Performance Capacity 1100 patrons Price per ticket $10.00 Weekly fixed Retal Cost $1,500.00 Rehearsal Cost for every series $4,500.00 Costs per performance $2,000.00 Cost of
Performance Capacity 1100 patrons
Price per ticket $10.00
Weekly fixed Retal Cost $1,500.00
Rehearsal Cost for every series $4,500.00
Costs per performance $2,000.00
Cost of program and tickets $1.00 patron
Recent attendance at the symphonies has been 900 patrons, which has resulted in a per performance profit of $100.
Proposal 1
A matinee repeat of the Saturday evening performance with tickets priced at $6. Management estimates that it could sell 700 tickets for each matinee performance but 150 of those would be purchased by patrons who would otherwise have attended the Saturday evening show.
Proposal 2
A new series of concerts to be performed on Sunday with tickets priced at $10. There will be two performances per week: the regular and the new series. Management estimates that it could sell 800 tickets per show but 100 would be purchased by patrons who would otherwise have attended the regular Saturday performance.
How to calculate the revenue for Proposal 1 and Proposal 2?
What is the profits for Proposal 1 and Proposal 2?
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Accounting Equations & Answers
Authors: Barcharts, BarCharts Inc
1st Edition
1423218248, 9781423218241
