The Oviedo Thespians are planning to present performances of their Florida Revue on 2 consecutive nights in January. It will cost them $5,000 per night for theater rental, event insurance and professional musicians. The theater will also take 10% of gross ticket sales. How many tickets must they sell at $10.00 per ticket to break even?
A) 1000 tickets
B) 1,112 tickets
C) 1,223 tickets
D) There is not enough information

Question

Quizplus · Accepted Answer

To break even, the Thespians need to cover their costs of $5,000 per night for 2 nights, totaling $10,000. With tickets at $10 each and the theater taking 10% of gross sales, they effectively earn $9 per ticket ($10 - 10% of $10). To find the number of tickets needed to break even: $10,000 / $9 = 1,111.11. Since they can't sell a fraction of a ticket, they need to sell 1,112 tickets to break even.

The Oviedo Thespians Are Planning to Present Performances of Their