We can start solving this problem using algebra. Let x be the price of the lower section seats. Then the price of the upper level seats is x - 10.
We know that there are a total of 8000 seats in the arena, and 3000 of them are upper level seats. So the remaining seats are in the lower section, which means there are 5000 lower section seats.
We also know that the total revenue for a sellout is $194,000. We can use this information to set up an equation to represent the total revenue:
(x - 10) * 3000 + x * 5000 = 194000
Now we can use this equation to solve for the price of the lower section seats (x).
3000(x-10) + 5000x = 194000
3x - 30,000 + 5x * 10^4 = 194000
8x = 224,000
x = 28000/8 = 3500
Therefore, the price of the lower section seats is $3500 and the price of the upper level seats is $3500 - $10 = $3490.