Willie's widgets currently sell for $10 each. At that price, Willie has sold 48,000 widgets. Willie would like to maximize his revenue, so he raises the price of a widget to $12 each. Willie has seen the sales of his widgets drop only slightly to 45,000. Using the initial-value method, the price elasticity of demand for Willie's widgets is absolute value rounded to two decimal places.) We can conclude that the demand for Willie's widgets under these conditions is O A. inelastic. B. unit elastic. O C. elastic. OD. perfectly inelastic. (Enter your response as an

Willie's widgets currently sell for $10 each. At that price, Willie has sold 48,000 widgets. Willie would like to maximize his revenue, so he raises the price of a widget to $12 each. Willie has seen the sales of his widgets drop only slightly to 45,000. Using the initial-value method, the price elasticity of demand for Willie's widgets is absolute value rounded to two decimal places.) We can conclude that the demand for Willie's widgets under these conditions is O A. inelastic. B. unit elastic. O C. elastic. OD. perfectly inelastic. (Enter your response as an

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter3: Demand Analysis

Section: Chapter Questions

Problem 8E: The Stopdecay Company sells an electric toothbrush for $25. Its sales have averaged 8,000 units per...

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