A Movie Theater Has Been Charging $\$ 10.00$ Per Person and Selling About 500 Tickets on a Typical

question 145

Short Answer

A movie theater has been charging $\$ 10.00$ per person and selling about 500 tickets on a typical weeknight. After surveying their customers, the theater estimates that for every $\$ 0.5$ that they lower the price, the number of moviegoers will increase by 50 per night. Find the demand function and calculate the consumer surplus when the tickets are priced at $\$ 8$ .