A baseball team plays in a stadium that holds 52000 spectators. With the ticket price at $8 the average attendance has been 21000. When the price dropped to $5, the average attendance rose to 26000.

a) Find the demand function , where is the number of the spectators. (Assume that is linear.)



b) How should ticket prices be set to maximize revenue?

The revenue is maximized by charging $ per ticket.

You can earn partial credit on this problem.