Multiple choice

In a cinema hall, the charge per person is Rs. $200$. On the first day, only $60\%$ of the seats were filled. The owner decided to reduce the price by $20\%$ and there was in increase of $50\%$ in the number of spectators on the next day. The percentage increase in the revenue on the second day was.

  1. $50$
  2. $40$
  3. $30$
  4. $20$
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Day 1: Revenue = 200 * 0.6 * N = 120N. Day 2: Price = 200 * 0.8 = 160. Spectators = 0.6N * 1.5 = 0.9N. Revenue = 160 * 0.9N = 144N. Increase = (144 - 120) / 120 = 24 / 120 = 20%.

AI explanation

Assume the cinema has 100 seats, so the first day revenue is 60 spectators multiplied by Rs. 200, totaling Rs. 12000. The owner reduces the ticket price by 20 percent to Rs. 160, and the number of spectators increases by 50 percent from 60 to 90. The second day revenue becomes 90 multiplied by Rs. 160, which equals Rs. 14400. The percentage increase in revenue is calculated as ((14400 - 12000) / 12000) * 100, resulting in a 20 percent increase.

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