Ryan Day Rodeos is the premier rodeo destination on this side of the Mississippi. Unfortunately, RDR...

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Ryan Day Rodeos is the premier rodeo destination on this side of the Mississippi. Unfortunately, RDR has lost a majority of its income in 2020 after being shut down due to COVID-19 and Ryan is unsure of whether it is worth it to open for the 2021 season with all of the restrictions and uncertainty. If RDR opens, Ryan must pay Ohio State $15,000,000 on December 19, 2020 to reserve space at the 'Shoe to host his 2021 rodeos. Additionally, RDR must follow the state guildelines that restrict the number of fans in attendance. Gov. DeWine has offered the following capacity estimates for each month of 2021: 10% capacity for January - March, 35% capacity for April - September, and 25% capacity for October - December. The % revenue that RDR will make (earned on the last day of every month) is equal to the % capacity, and RDR brings in $5,000,000 per month at full capacity. What are all of the expenses and revenues associated with opening for the 2021 season worth on December 19, 2020 if RDR has a 10% MARR? Stadium Capacity Guidelines Month Capacity January February 10% 10% March 10% April 35% May 35% June 35% July August September 35% 35% 35% October 25% November 25% December 25% Ryan Day Rodeos is the premier rodeo destination on this side of the Mississippi. Unfortunately, RDR has lost a majority of its income in 2020 after being shut down due to COVID-19 and Ryan is unsure of whether it is worth it to open for the 2021 season with all of the restrictions and uncertainty. If RDR opens, Ryan must pay Ohio State $15,000,000 on December 19, 2020 to reserve space at the 'Shoe to host his 2021 rodeos. Additionally, RDR must follow the state guildelines that restrict the number of fans in attendance. Gov. DeWine has offered the following capacity estimates for each month of 2021: 10% capacity for January - March, 35% capacity for April - September, and 25% capacity for October - December. The % revenue that RDR will make (earned on the last day of every month) is equal to the % capacity, and RDR brings in $5,000,000 per month at full capacity. What are all of the expenses and revenues associated with opening for the 2021 season worth on December 19, 2020 if RDR has a 10% MARR? Stadium Capacity Guidelines Month Capacity January February 10% 10% March 10% April 35% May 35% June 35% July August September 35% 35% 35% October 25% November 25% December 25%

Answer rating: 100% (QA)

Here is our analysis Month Capacity Revenues January 10 500000 February 10 500000 March 10 ... View the full answer