Question

At
a large institution of higher learning, the demand for football
tickets at each game is 100,000-6,000p. If the capacity of the
stadium at that university is 60,000 seats, what is the revenue
maximizing price for this university to charge per ticket?

Answer #1

BYou are running a football program at a large Texas university.
Your program has been losing money and you therefore want to work
out the profit maximizing price for tickets. You hire a consultant
who calculates that you face the following demand curve for season
tickets for each game:
Qd= 144,000
– 240P
He notes that you have a very large stadium (92,589) seats that
is never filled. He also notes that most of the costs that your
football program...

At a price of $16 per ticket to a stadium football game, 40,000
people attend the game. At $12 per ticket, 50,000 people attend the
game. On average, everyone spends $4 on concessions. the capacity
of the stadium is 60,000 people. With the information given we wish
to construct the price function p(x) where x is the number of
people in attendance. From this, we construct the revenue function
R(x), the total amount of money taken at the stadium. WE...

At a price of $16 per ticket to a stadium football game, 40,000
people attend the game. At $12 per ticket, 50,000 people attend the
game. On average, everyone spends $4 on concessions. the capacity
of the stadium is 60,000 people. With the information given we wish
to construct the price function p(x) where x is the number of
people in attendance. From this, we construct the revenue function
R(x), the total amount of money taken at the stadium. WE...

The demand function for ice hockey tickets for a typical game at
a HV-71 game is D(?)=200,000−10,000p. The team has a clever and
avaricious athletic director who sets his ticket prices so as to
maximize revenue. The Kinnarps Arena holds 100,000 spectators.
(a)Write down the inverse demand function.
(b)Write expressions for total revenue and marginal revenue as a
function of the number of tickets sold.
(c)What price will generate the maximum revenue? What quantity
will be sold at this price?...

A university is trying to determine what price to charge for
tickets to football games. At a price of $30 per ticket,
attendance averages 40,000people per game. Every decrease of $3
adds 10,000 people to the average number. Every person at the game
spends an average of $3.00 on concessions. What price per ticket
should be charged in order to maximize revenue? How many people
will attend at that price?
What is the price per ticket?
What is the average...

A university is trying to determine what price to charge for
tickets to football games. At a price of $27 per ticket,
attendance averages 40,000 people per game. Every decrease of $3
adds 10,000 people to the average number. Every person at the game
spends an average of $4.50 on concessions. What price per ticket
should be charged in order to maximize revenue? How many people
will attend at that price?

A university is trying to determine what price to charge for
tickets to football games. At a price of $24 per ticket,
attendance average 40,000 people per game. Every decrease of $3
adds 10,000 people to the average number. Every person at the game
spends an average of $4.50 on concessions. What price per ticket
should be charged in order to maximize revenue? How many people
will attend at that price?

Suppose the average student’s demand for a team's football
tickets is as follows:
Price $20 $14 $10 $7 $5
Quantity 1 2 3 4 5
a. If this team is a profit maximizer and it can only sell
single game tickets, what price will they charge, how many tickets
will the average student buy, and how much profit will the college
make per student (assuming MC = 0)?
b. If this team is a profit maximizer but instead sells
season-tickets...

Graph a typical linear (that means straight line) supply and
demand curve for the tickets to a 100,000 seat stadium. Assume that
the # of seats in the stadium is fixed at the beginning, and price
of each ticket is $50. Label each axis properly and denote
equilibrium price and quantity, P* and Q*, respectively. Now,
consider that the ticket we just drew the supply and demand for, is
a normal good. Suppose the average household income goes down in...

The University of Michigan football stadium, built in 1927, is
the largest college stadium in America, with a seating capacity of
107,500 fans. Assume the stadium sells out all six home games
before the season begins, and the athletic department collects
$64.50 million in ticket sales.
Required:
1. What is the average price per season ticket
and average price per individual game ticket sold? (Enter
your answers in dollars, not in millions (i.e. $5.5 million should
be entered as 5,500,000).)...

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