at the local ballpark, the team charges $5 for each ticket and expects to make $1,400 in concessions. the…

at the local ballpark, the team charges $5 for each ticket and expects to make $1,400 in concessions. the team must pay its players $2,000 and pay all other workers $1,600. each fan gets a free bat that costs the team $3 per bat. how many tickets must be sold to break even? a. 440 b. 1,100 c. 2,500 d. 275 please select the best answer from the choices provided

at the local ballpark, the team charges $5 for each ticket and expects to make $1,400 in concessions. the team must pay its players $2,000 and pay all other workers $1,600. each fan gets a free bat that costs the team $3 per bat. how many tickets must be sold to break even? a. 440 b. 1,100 c. 2,500 d. 275 please select the best answer from the choices provided

Answer

Explanation:

Step1: Calculate total fixed - costs

The team has to pay players $$2000$ and other workers $$1600$. So the total fixed - costs $F = 2000 + 1600=3600$.

Step2: Calculate net revenue per ticket

The team charges $$5$ per ticket and gives a free bat that costs $$3$ per bat. So the net revenue per ticket $R = 5-3 = 2$. They also expect $$1400$ in concessions.

Step3: Set up break - even equation

Let $x$ be the number of tickets sold. The total revenue is the sum of the net ticket revenue and concession revenue, and it should equal the total fixed - costs. So the equation is $2x+1400 = 3600$.

Step4: Solve the equation for $x$

Subtract 1400 from both sides: $2x=3600 - 1400=2200$. Then divide both sides by 2: $x=\frac{2200}{2}=1100$.

Answer:

B. 1,100