Chi Omega Sorority is planning its annual Riverboat Extravaganza. The Extravaganza committee has assembled the following expected costs for the event:
Dinner (per person)
$ 7
Favors and programs (per person)
3
Orchestra
2,600
Tickets and advertising
1,800
Riverboat Rental
5,200
Floor show and strolling entertainers
1,400
The committee members want to charge $30 per person for the evening’s activities.
Required:
1. Compute the break-even point for the Extravaganza (in terms of the number of persons that must attend.) Assume that only 250 person attended the Extravaganza last year. If the same number attend this year, what price per ticket must be charged in order to break
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