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Two SSU Athletic programs (football and baseball) are compared at Savannah State University (SSU) in terms of their annual operation costs. The two programs can
Two SSU Athletic programs (football and baseball) are compared at Savannah State University (SSU) in terms of their annual operation costs. The two programs can generate the same revenue (hence the focus on the costs). The football program has fixed costs of $10,000 a year and variable costs of $2.50 per spectactor ticket. The baseball program has a fixed cost of $4,000 per year and variable cost of $4.00 per spectator ticket.
(a) [Points 1.5/10]. Determine mathematically the break-even number of visitors per year for the two rides to have equal annual costs.
(b) [Points 1.5/10]. Develop a graph that illustrates the following (note: put spectators per year on the horizontal axis and costs on the vertical axis).
(b.1) Accurate total cost lines for the two athletic programs (show lines and slopes).
(b.2) The break-even point for the two athletic programs in terms of number of spectators.
(b.3) The range of spectators per year where each alternative is preferred.
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