Question: The Walk for Kids is an annual fund raising event

The Walk for Kids is an annual fund- raising event that raises money for research on children’s blood disorders. The Walk costs $ 120,000 to stage even if nobody shows up. To encourage people to participate, each walker is given a T-shirt that costs the Walk $ 8.00 and refreshments that cost an average of $ 10 per person. This year, the organizers of the Walk got a $ 20,000 grant from the City Foundation to offset part of the costs associated with staging the Walk. The Walk raises money by asking each walker to pay $ 10 to register and requires each walker to solicit sponsors who agree to pay $.75 (seventy-five cents) per mile for each of the 10 miles that the walker completes. In the past, all of the walkers have completed the ten- mile course and have had an average of 20 sponsors.
1. How many whole walkers have to participate in the Walk for the event to at least break even?
2. If the cost of refreshments per walker increases from $ 10 to $ 11, the break- even number of walkers will:
a. Increase
b. Decrease
c. Stay the same

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  • CreatedDecember 19, 2014
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