Organizers of an Internet Training Session Will Charge Participants $150

question 16

Essay

Organizers of an Internet training session will charge participants $150 to attend.It costs $3000 to reserve the room,hire the instructor,bring in the equipment,and advertise.Assume it costs $25 per student for the organizers to provide the course materials.
a.How many students would have to attend for the company to break even?
b.If the trainers think,realistically,that 20 people will attend,then what price should be charged per person for the organization to break even?

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Definitions:

Expectancy Theory

A motivational theory positing that individuals are motivated to act in certain ways based on their expectations of future outcomes and the attractiveness of those outcomes.

Motivation

The psychological processes that arouse and direct goal-directed behavior.

Work

A physical or mental effort done in order to achieve a purpose or result, often associated with employment or tasks.

Telecommuting

A work arrangement in which employees do not commute to a central place of work, instead working via electronic communications from a different location, often their home.