subject
Mathematics, 24.12.2020 16:00 wilwhe3231

An amusement park is considering installing an outdoor ice-skating rink, which costs $950,000. Expenses for operating and maintaining the ice-skating rink are estimated at $2,500 each day it is used. The outdoor skating rink can only be used when the weather is sufficiently cold, so its usage is limited. The US weather service estimates that there is a 50% probability of 80-day suitable weather per year, 30% probability of 100 days per year, and 20% probability of 120 days per year. The operators of the amusement park estimate that during the first 80 days of use in a season, an average of 500 people will skate each day, at a fee of $20 each. If 20 additional days are available, the rink will be used by only 400 people each day during the extra period, and if 20 more days of skating are available, only 300 people per day will use the rink during those days. The management of the amusement park wish to recover any invested capital within three years and want at least a 22% per year rate of return before taxes. Based on before tax analysis, should the outdoor ice-skating rink be installed

ansver
Answers: 1

Another question on Mathematics

question
Mathematics, 21.06.2019 17:30
One positive number is 9 more than twice another. if their product is 95, find the numbers
Answers: 1
question
Mathematics, 21.06.2019 19:00
Atriangle has a side lengths of 18cm, 80 cm and 81cm. classify it as acute obtuse or right?
Answers: 2
question
Mathematics, 21.06.2019 20:30
What is the radius of a circle with an area of 78.5 cubic inches? use 3.14 for pie
Answers: 2
question
Mathematics, 21.06.2019 21:30
Questions 9-10. use the table of educational expenditures to answer the questions. k-12 education expenditures population indiana $9.97 billion 6.6 million illinois $28.54 billion 12.9 million kentucky $6.58 billion 4.4 million michigan $16.85 billion 9.9 million ohio $20.23 billion 11.6million 9. if the amount of k-12 education expenses in indiana were proportional to those in ohio, what would have been the expected value of k-12 expenditures in indiana? (give the answer in billions rounded to the nearest hundredth) 10. use the value of k-12 education expenditures in michigan as a proportion of the population in michigan to estimate what the value of k-12 education expenses would be in illinois. a) find the expected value of k-12 expenditures in illinois if illinois were proportional to michigan. (give the answer in billions rounded to the nearest hundredth) b) how does this compare to the actual value for k-12 expenditures in illinois? (lower, higher, same? )
Answers: 1
You know the right answer?
An amusement park is considering installing an outdoor ice-skating rink, which costs $950,000. Expen...
Questions
question
Mathematics, 01.10.2019 14:20
question
Mathematics, 01.10.2019 14:20
question
Mathematics, 01.10.2019 14:30