Exercise $7-27$

Continuation of Preceding Exercise; Profit$-$Volume Graph; Safety Margin

$($LO$7-3,7-4)$

Refer to the data given in the preceding exercise. $($Ignore income taxes.$)$

Required:

Prepare a fully labeled profit$-$volume graph for the Houston Armadillos.

What is the safety margin for the baseball franchise if the team plays a $12-$game season and the team owner expects the stadium to be $30$ percent full for each game?

If the stadium is half full for each game, what ticket price would the team have to charge in order to break even?