A movie theater wants to determine the price per ticket that should be charged in order to maximize its revenue: The theater can accommodate 2000 movie goers per night; but the average attendance is about 1400 people per night: The average ticket price is about $8.00. Market research shows that; for each $0.50 reduction in the ticket price, attendance increases by 250 spectators: What should the theater charge per ticket in order to sell out every show?
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Let \( x \) be the number of $0.50 reductions in the ticket price. The new ticket price will then be \( 8.00 - 0.50x \). Show more…
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