Live Event Market Dynamics

About this quiz

What this quiz asks

1. A concert promoter calculates that a 10% price increase for a premium seat section leads to a 5% decrease in the quantity of tickets sold. Calculate the Price Elasticity of Demand (PED) for these tickets.
2. If the price of a concert ticket is $200 and the current quantity demanded is 1,000 units, and a price increase to $220 causes demand to drop to 900 units, what is the arc price elasticity of demand?
3. A venue determines that demand for a specific concert follows the function Q = 2000 - 4P. At what price (P) is the point price elasticity of demand exactly equal to 1.0 (unitary elasticity)?
4. If the demand function is Q = 5000 * P^(-2), what is the price elasticity of demand? Select all correct interpretations.
5. A concert venue has a total capacity of 10,000 seats. If 85% of tickets are sold in the primary market and 10% of those sold tickets appear on the secondary market for resale, what is the total number of tickets circulating in the secondary market?
6. If the supply of secondary market tickets follows a linear growth function S(t) = 50t + 200, where t is the number of days after the initial sell-out, how many total tickets are in the secondary market by day 14?
7. Secondary market supply increases exponentially as the event date approaches, modeled by S(t) = 100 * e^(0.1t). If t=20 days, approximately how many tickets are available? (Use e ≈ 2.718)
8. If the supply of tickets in the secondary market is S = 500 and the demand is D = 1500 - 2P, where P is the price, at what price P does the secondary market reach equilibrium (S = D)?
9. A dynamic pricing algorithm sets the price P(t) based on time remaining before an event t in hours. If P(t) = 500e^(-0.1t), what is the ticket price 10 hours before the event?
10. An algorithm adjusts ticket prices based on inventory velocity. If the base price is 200 USD and the price increases by 2% for every 5% of inventory sold, what is the price after 25% of inventory is sold?
11. A dynamic pricing model uses a linear demand curve P = 1000 - 2Q, where Q is quantity sold. If the algorithm aims to maximize revenue R = P * Q, what is the optimal quantity Q to sell?
12. An algorithm adjusts pricing by calculating the sensitivity (elasticity) factor E = (ΔQ/Q) / (ΔP/P). If a 10% price increase leads to a 20% drop in demand, what is the elasticity E?
13. A ticket broker acquires a block of 200 tickets at a face value of $150 each. If they incur a flat $12 service fee per ticket and a $500 total logistics overhead, what is the total cost basis for the inventory?
14. A broker sells a ticket for $400 after acquiring it for $250. If the marketplace platform charges a 15% commission on the final sale price, what is the net profit margin in dollars?
15. To maintain a 25% target ROI on a ticket purchased for $200, including a 10% platform fee on the sale price, what is the minimum required sale price (x)?
16. A broker holds 50 tickets bought at $100. They sell 30 at $200 and 20 at $150. If platform fees are 12% of total revenue, what is the total net profit?
17. A promoter holds 500 tickets for a concert with a face value of $100 each. If the inventory liquidity risk factor dictates that 20% of the tickets must be liquidated within 48 hours to cover fixed costs, how many tickets must be sold to meet this requirement?
18. If the holding cost for unsold inventory is $2 per ticket per day, and a broker has 2,000 unsold tickets that remain stagnant for 5 days due to poor market liquidity, what is the total inventory holding cost incurred?
19. A broker estimates that the probability of selling their remaining inventory decreases by 15% for every day the event date approaches, given a current inventory of 1,000 tickets. If the initial probability is 90%, what is the probability of sale after 3 days of stagnant liquidity?
20. A firm has $500,000 tied up in ticket inventory. They require a 12% annual return on capital. If the inventory turnover rate is 4 times per year, and they face a 5% liquidity risk write-down on each turnover cycle, what is the net profit after accounting for the write-down over one year?
21. A new regulation caps resale markups at 20% above the face value of $200. If a broker acquires a ticket at face value, what is the maximum legal resale price?
22. A tax of 15% is applied to the resale margin (Resale Price - Face Value). If a ticket is bought for $100 and sold for $300, what is the total tax owed?
23. A regulation mandates that 5% of all resale proceeds must be donated to a charity. If a ticket is resold for $800, what is the donation amount?
24. A new law imposes a flat $50 regulatory fee per resale transaction, plus a 10% tax on the margin. If a ticket is bought at $100 and resold at $400, what is the total regulatory cost?

Answer choices and explanations are shown when you take the quiz.

Topics

Quizzes on Remee

Remee quizzes come in six formats — including image questions, matching, drag-and-drop and branching — and can be played live with up to 35 people at once, which makes them work as easily in a classroom as they do on your own.