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Preiminary plans are underway for construction of a new stadium for a major league baseball team. City officials question the number and profitability of the
Preiminary plans are underway for construction of a new stadium for a major league baseball team. City officials question the number and profitability of the luxury corporate boxes planned for the upper deck of the stadium. Corporations and selected individuals may purchase & box for $300000. The fixed construction cost for the upper-deck aree is estimated to be $4575000, with a varieble cost of $125000 for each box constructed a. What is the broakoven point for the number of luxury boxes in the now stadium? luxury boxes Breakeven point b. Preliminary drawings for the stadium show that space i$ available or tho construction of up to 47 luxury boxes Promoters indicate that buyers re avai ble and that a" 47 could be sold if constructed what is your recommendation concerning the construction of luxury boxes? The input in the box below will not be graded, but may be reviewed and considered by your instructor. What pront is anticipated? Profit
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