pheep and the quantity x sold of a certain product obey the demand equation below. x= -8p+176, 0sps22 (a) Express the revenue R as a function of x. (b) What is the revenue if 144 units are sold? (c) What quantity x maximizes revenue? What is the maximum revenue? (d) What price should the company charge to maximize revenue? (e) What price should the company charge to earn at least $576 in revenue? (a) R(x) = TTS

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Question 2. Suppose that the price elasticity of demand for an ice cream cone is -1.9. If the local ice cream shop owner wants to increase total revenue, what would you recommend he or she do?

Price (dollars) 8 7 D. 5 10 15 20 25 30 35 Quantity (units per year) In the figure above, when the price falls from $8 to $7, total revenue A) decreases from $210 to $120 so demand is inelastic. B) increases from $120 to $210 so demand is inelastic. C) decreases from $210 to $120 so demand is elastic. D) increases from $120 to $210 so demand is elastic. 6

Suppose that business travelers and tourists have the following demand for airlinetickets from Lahore to Karachi.price Quantity demanded(business travelers) Quantity demanded(tourists)$150 2100 1000200 2000 800250 1900 600300 1800 400As the price of ticket rises from $200 to $300, what is the price elasticity of demand for (i) Business travelers(ii) Tourists(Use the midpoint method in your calculations.)

Danny "Dimes Donahue is a neighborhood's 9-year-old entrepreneur. His most recent venture is selling homemade brownies that he bakes himself. At a price of $2.50 each, he sells 100. At a price of $2.00 each, he sells 300, Instructions: Use the midpoint method and round your answer to two decimal places. Do not include a negative sign(-) a. What is the elasticity of demand?

Which of the following is likely to have the highest in absolute value) demand elasticity? a.Cigarettes b.The group of branded, "premium " cigarettes as a whole (i.e. Camel, Marlboro, etc allcombined into one market) c.A necessary medication without close substitutes d.Camel brand cigarettes

Danny "Dimes" Donahue is a neighborhood's 9-year-old entrepreneur. His most recent venture is selling homemade brownies that he bakes himself. At a price of $2.75 each, he sells 250. At a price of $2 25 each, he sells 300. Instructions: Use the midpoint method and round your answer to two decimal places. Do not include a negative sign (-) a. What is the elasticity of demand? b. is demand elastic or inelastic over this price range? Inelastic O Elastic c. If demand had the same elasticity for a price decline from $2.25 to $1.75 as it does for the decline from $2.75 to $2.25, would cutting the price from $2 25 to $1.75 increase or decrease Danny's total revenue? O Increase O Decrease