Why is Everest permit so expensive?

Could you please explain why the permit to climb Mount Everest is so exorbitantly priced? Is it due to the extreme danger and challenges associated with the climb, or are there other factors at play, such as limited resources and environmental concerns? Additionally, how does the revenue generated from these permits contribute to the preservation and management of the mountain and its surrounding areas? I'm curious to understand the rationale behind the high cost and how it aligns with the overall goals of protecting this iconic natural wonder.