You Are Part of a Local Community Theater Group

Multiple Choice

You are part of a local community theater group. Its goal is to raise as much revenue as possible. Mary suggests raising ticket prices. Is she right?

A) yes if the demand for tickets is price inelastic
B) no if the demand for tickets is price inelastic
C) yes because raising prices always increases revenue
D) no because raising prices reduces sales and revenue
E) most likely because the demand curve for theater tickets is typically inelastic