SOLUTION: When a theater owner charges $2 for admission, an average of 100 people attend. For each 10cent increase in admission price, the average number decreases by 1. What should he charg

Question 1043676: When a theater owner charges $2 for admission, an average of 100 people attend. For each 10cent increase in admission price, the average number decreases by 1. What should he charge to make the most money?
Found 2 solutions by josgarithmetic, MathTherapy:
Answer by josgarithmetic(39620) (Show Source): You can put this solution on YOUR website!

PRICE ATTENDANCE 2 100 2+1(0.1) 100-1 2+n(0.1) 100-n

Revenue is price multiplied by number attended;
, revenue as function of n attendees.

Think about that function and you should recognize it is of a parabola with vertex as a maximum. The roots or zeros of r are -20 and 100. The vertex, max point, will be at the n value in the exact middle of the two roots.

What is r when n=40?
What is the admission price when n=40?
Answer by MathTherapy(10552) (Show Source): You can put this solution on YOUR website!

When a theater owner charges $2 for admission, an average of 100 people attend. For each 10cent increase in admission price, the average number decreases by 1. What should he charge to make the most money?

Charge: 40 $0.10 INCREASES, plus $2 (current charge), or: to generate MAXIMUM revenue.
RELATED QUESTIONS
When a school play charges 2$ for admission, an average of 100 people attend. For each 10 (answered by richwmiller,ikleyn)
theater owner charges $3.00 of admission, there is an average attendance of 100 people.... (answered by stanbon)
A research study has shown that 500 people attend a tournament when the admission price... (answered by htmentor)
When the admission price to a game is �0.50, 10,000 people attend. For every increase of... (answered by ankor@dixie-net.com,lwsshak3,MathTherapy)
An average of 100,000 people visit Riverside Park each day in the summer. The park... (answered by ankor@dixie-net.com)
A friend of mine who loves maths problems asked me to solve this but I must confess I am... (answered by MathTherapy)
Studies have shown that 400 people attend a high school basketball game when the... (answered by Boreal)
An amusement park charges admission plus a fee for for each ride. Admission plus 2 rides (answered by PBMathandscience)
A movie theater charges $9 for adults and $7 for senior citizens. On a day when 325... (answered by ewatrrr)