tickets sells
Mon, 2008-04-28 23:48
A club sells tickets for a show and gets a profit of 25% with revenue of Rs. 40,000. Now they increase the price of the tickets for next show but they sold only 80% of the tickets. But still makes a profit of Rs. 1000 more than the previous show. By how much percentage did the club members increase the cost of the tickets?
a. 22%
b. 25%
c. 28%
d. 32%
Let n be the number of seats and a be price of each seat
Total revenue = na = 40,000
After the price increase, the profit increases by 1000
Lets take the new increased price is pa
So new revenue = n*0.8*pa
And n*0.8*pa – na = 1000
=> na(0.8p – 1) = 1000
=>0.8p – 1 = 1/40 = 0.025
=> p = 1.025/0.8 = 1.28125
So the cost is increased by 28.125% (ans c)
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