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The Ritz Theater operates in a local mall and has an average ticket price of $8.80 per ticket. Monthly data for January through June of
The Ritz Theater operates in a local mall and has an average ticket price of $8.80 per ticket. Monthly data for January through June of 2017 is provided for Ritz's total operating costs and it volume of tickets sold. Month Total Costs # of Tickets January February March April May $198,890 $212,680 $213,230 $199,930 $184,950 $213,100 24,000 26,000 25,600 24,300 22,300 26,200 ine Use the high low method to estimate the variable cost per ticket and the monthly fixed costs. Use your estimates to answer the following questions Answers The variable cost per ticket equals (to three decimal digits) The monthly fixed costs equal (to the nearest dollar) The contribution margin per ticket is? Expected profits for a month with 25,000 in tickets sales equals? On average revenues from concessions are $4.40 for each ticket sold. The gross margin on concessions is about 80% of this amount. What would be the expected monthly profit including concessions for a month where 23.000 tickets are sold
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