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Bunuel
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Original Situation: You pay $10, and let's say 100 people visit. So, the exhibition earns $10 * 100 = $1000.

Fee Reduction: The fee drops by 25%. So, $10 - (25% of $10) = $10 - $2.50 = $7.50.

Sales Increase: Despite the lower fee, total sales (revenue) went up by 20%. So, the new sales are $1000 + (20% of $1000) = $1000 + $200 = $1200.

New Visitors: Now, with the new fee ($7.50) and new total sales ($1200), how many visitors must there have been?

Visitors = Total Sales / Fee per person = $1200 / $7.50 = 160 visitors.
Percentage Increase: The number of visitors went from 100 to 160.

Increase = 160 - 100 = 60 visitors.
Percentage increase = (60 / 100) * 100% = 60%.
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Given that the entry fee is $10.
Let's assume the spectator is 10 people.
So, total sale of tickets (Revenue) is 10×10=100
As the entry fee is reduced by 25%, current entry fee is $7.5.
But the sale (sale of tickets) is increased by 20%.
So the total sale will be 120.
Thus, 7.5 × new number of spectator= 120
New number of spectator is = \(\frac{120}{7.5}\)=16
Previous spectator was 10, and the new is 16.
Thus, the increase is 60%
The answer is C
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This is probably just me, but it wasn't clear to me whether "the sale of tickets" was referring to revenue or units sold.
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Yeah, I felt the same. It could have been dollar sales or something.

Then I guess, we just have to assume it was referring to revenue; if not, then units sold will be the same as the number of visitors, which means the increase in the number of visitors is 20%, given by the question itself.
TommasoP
This is probably just me, but it wasn't clear to me whether "the sale of tickets" was referring to revenue or units sold.
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Assume 100 people are initially at the fair
Sale = 100 * 10(price per ticket) = 1000
Price of ticket drops by 25%
10 * 75/100 = $ 7.5
Sale increases by 20%
= 1000 * 1.2 = 1200
Therefore
No.of visitors * 7.5 = 1200
No. of visitors = 160
Therefore 60% increase in number of visitors
Answer is C
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