An automobile company is sponsoring a charity golf tournament to raise money for
ID: 1113559 • Letter: A
Question
An automobile company is sponsoring a charity golf tournament to raise money for a charity. There are two possible venues:
RTJ Golf Resort, which charges a fixed rental cost of $6,810 plus an additional fee of $107 per person. The automobile company will charge $290 per ticket if the event is at RTJ Golf Resort.
Wynlakes Golf & Country Club, which charges a fixed rental cost of $2,900 plus $180 per person. The automobile company will charge $248 per ticket if the event is at Wynlakes.
The automobile company will also have $1,200 in costs for administration, marketing, and entertainment at both venues. What is the fewest number of tickets to be sold for the company to be indifferent between the two venues? (Your answer can be a decimal number.)
Explanation / Answer
Solution: 54 tickets
Working
(VCU (option 1) x Units) + FC (option 1) = (VCU (option 2) x Units) + FC (option 2)
107 * Units + 6810 = 180 * Units + 2900
(180-107) units = 6810 -2900
No of units to be indifferent = 54 tickets
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