Question #38628

Demand for a softback managerial economics texr is given by Q=20,000-300R

The book is initially priced at $30

a. Compute the point price elasticity at demand at P=$30

b. If the objective is to increase total revenue should the price be increased or decreased? Explain

c. Compute the are price elasticity for a price decrease from $30 to $20

d. Compute the are price elasticity for a price decrease from $20 to $15

The book is initially priced at $30

a. Compute the point price elasticity at demand at P=$30

b. If the objective is to increase total revenue should the price be increased or decreased? Explain

c. Compute the are price elasticity for a price decrease from $30 to $20

d. Compute the are price elasticity for a price decrease from $20 to $15

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