Can someone solve this math problem?
Ann is preparing to accomplish her dream of directing Les Misérables. Because she doesn't own her own theatre company, she has to start from scratch. First, she must buy the rights to put on the production, which cost $5,000.00. In addition, she has to rent a theater. The most convenient theater charges $100.00 per hour. She intents to work a total of 30 hours at the theater (she will have rehearsals elsewhere). On top of that, she must pay $3,000.00 to rent props and set pieces. Luckily, she has friends who can sew and won't have to pay for costumes. She plans to charge $10.00 per ticket and there are 74 seats in the theater. If she does six performances and all are sold out, what will her maximum profit be?
- twopairacesLv 47 years agoBest Answer
This is pretty simple, so let's take it from the top:
A "cost" means that you are losing money, so let's consider every "cost" to be a negative value.
Let's look at the costs associated with this:
-$5000 for the production rights.
-$100 per hour of theater time.
-$3000 for prop rental.
So, we have two lump-sum costs (the rights & props) and a cost related to the amount of time using a facility, which is simply the product of the rate and the time. Let's add those up:
-$5000 + -$100*30 + -$3000 = -$11000
Now let's take a look at the gains, which are of course positive numbers. She sells 74 tickets per show at $10 per ticket, and does six shows. The gain is thus the product of $10*74*6 = $4440.
Profit is simply the gains less the costs:
$4440 - $11000 = -$6560
So, after all that, we can say that her maximum profit is not monetary, as she lost a very large sum of money in pursuing her dream.