Because production costs are rising, a local theater company is planning to maximize its profits by reducing by half the number of plays it stages per season. The quality of performances, their frequency, and the admission price will not change. Furthermore, neither the audience nor the sponsors, an important source of theater funding, is expected to be lost if the plan is instituted.
Which of the following, if true, provides the strongest evidence that the theater`s profits are not likely to increase if the plan is instituted?
(A)The majority of theatergoers are concerned about possible loss of production quality.
(B)Most sponsors will continue to donate the same amount of money per production as they have in the past.
(C)Next year`s production costs are expected to be on average 20% higher for each production.
(D)Many theater lovers would continue to attend performances regularly even if the admission fee were increased.
(E)Performers` and technical personnel`s salaries will not change in the near future.
OA B
Which of the following, if true, provides the strongest evidence that the theater`s profits are not likely to increase if the plan is instituted?
(A)The majority of theatergoers are concerned about possible loss of production quality.
(B)Most sponsors will continue to donate the same amount of money per production as they have in the past.
(C)Next year`s production costs are expected to be on average 20% higher for each production.
(D)Many theater lovers would continue to attend performances regularly even if the admission fee were increased.
(E)Performers` and technical personnel`s salaries will not change in the near future.
OA B
Last edited by guerrero on Sun Oct 13, 2013 7:08 am, edited 1 time in total.
