Use the midpoint method of calculating percentage changes in thisquestion.Heidi used to bake and sell 3 custom cakes each week when the priceof cake was $35. Now that the price has increased to $45, she bakesand sells 5 cakes.What was the 'percentage change' in quantity supplied of cakes forHeidi?%. Is this 'percentage change' positive ornegative?What was the 'percentage change' in price of cakes?%. Is this 'percentage change' positive or negative?What was Heidi's price elasticity of supply?(roundto 2 decimal places] Is this considered 'elastic', 'inelastic', or 'unitelastic'?

Given Information Q1 = $3 and Q2 = $5 P1 = $35 and P2 = $45 Here,Q = QuantityP = Price

Use the midpoint method of calculating percentage changes in question. Heidi used to bake and sell 3 custom cakes each week when the of cake was $35. Now that the price has increased to $45, she b and sells 5 cakes. What was the 'percentage change' in quantity supplied of cakes Heidi? % Is this 'percentage change' positi

Use the midpoint method of calculating percentage changes in question. Heidi used to bake and sell 3 custom cakes each week when the of cake was $35. Now that the price has increased to $45, she b and sells 5 cakes. What was the 'percentage change' in quantity supplied of cakes Heidi? % Is this 'percentage change' positi

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter5: Elasticity

Section: Chapter Questions

Problem 31CTQ: Economists define normal goods as having a positive income elasticity. We can divide normal goods...

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