2 of 9
BACKNEXT
Movie theater popcorn - 900% markup
Movie theater popcorn - 900% markup
A medium bag of popcorn costs just 60 cents to make but retails for $6, a whopping 900% markup. That's enough to make "Avatar" fans turn blue.

Richard McKenzie, an economics professor at University of California-Irvine, says theater owners mark up the snack so much because they don't make a profit elsewhere.

McKenzie, author of the 2008 book "Why Popcorn Costs So Much at the Movies: And Other Pricing Puzzles," says that out of your $10 movie ticket, only a tiny percentage goes to the theater's profits.

"Popcorn is what pays for a lot of stuff in the movie theater," McKenzie says. "A lot of theater owners tell me, 'I consider myself working in concessions, not movies.'"

NEXT: 'Free' credit reports that'll cost you

Last updated February 02 2010: 11:12 AM ET
Email | Print | Share  |  RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)
More Galleries
Awesome car options for first-time buyers There are lots of good options for millennials shopping for their first car. These models might not be the most popular, but they're worth considering. More
6 surprising things for sale on Taobao Consumers can buy just about anything and get it shipped to their door from Alibaba's Taobao, China's most popular online shopping platform. More
Most notorious recalls ever It's not just automakers that issue massive recalls. From lawn darts to Pokemon balls, plenty of other consumer products have been deemed dangerous, or worse, deadly. More

Special Offer