Question

A charity organization had to sell a few tickets to their fundraiser just to cover necessary production costs. After selling 10 tickets, they were still at a net loss of $800 dollar sign, 800 (due to the production costs). They sold each ticket for $70 dollar sign, 70.

Let y represent the net profit (in dollars) when they have sold xxx tickets

Answer 1

Price of each ticket = $70

Explanation:

The revenue generated from sales of 10 tickets = 70 x 10 = $700

After selling the 10 tickets, organization was still at loss of $800. This means total product cost of tickets = $800 + $700 = $ 1500

Net Profit = Revenue - Cost

Revenue from n tickets will be = 70n

Cost = $1500

So, net profit as a function of number of tickets sold = P(n) = 70n - 1500