4x+200A garden shop determines the demand function q = D(x) = 30x+9 during early summer for tomato plants where q is the number of plants sold per day when the price is x dollars per plant.(a) Find the elasticity.(b) Find the elasticity when x = 2.(c) At $2 per plant, will a small increase in price cause the total revenue to increase or decrease?(a) The elasticity is

Elasticity is a measure of how sensitive one economic variable is to changes in another. It…

A garden shop determines the demand function q = D(x)=- during early summer for tomato plants where q is the number of plants sold per day when the price is x dollars per plant. 30x+9 (a) Find the elasticity. (b) Find the elasticity when x = 2. (c) At $2 per plant, will a small increase in price cause the total revenue to increase or decrease? (a) The elasticity is

A garden shop determines the demand function q = D(x)=- during early summer for tomato plants where q is the number of plants sold per day when the price is x dollars per plant. 30x+9 (a) Find the elasticity. (b) Find the elasticity when x = 2. (c) At $2 per plant, will a small increase in price cause the total revenue to increase or decrease? (a) The elasticity is

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Assume that the price elasticity of demand is -0.25 for a certain firm's product. If the firm increases price, the firm's managers can expect total revenue to A) decrease. B) increase. C) remain constant. D) either increase or remain constant depending upon the size of the price increase.
A bakery works out a demand function for its chocolate chip cookies and finds it to be q = D(x) = 898-15x, where q is the quantity of cookies sold when the price per cookie, in cents, is x. Use this infor a) Find the elasticity b) At what price is the elasticity of demand equal to 1 ?
Consider the following demand function: 500 p(q) : (q + 290)? (a) Find the point elasticity n(g) as a function of q. The point elasticity function n(q): (b) Find the point elasticity at q = 520. Note: Point elasticity is typically a negative quantity. (c) Determine whether the demand is elastic, or inelastic, or has unit elasticity at q = 520. The demand is ? at q = 520.
Worldwide annual sales on smart phones over a two year period were approximately q=-5p+3090 million phones at the selling price of $p per phone. (a) obtain a formula for the price elasticity of demand E. E=______ (b) in one of the years the actual selling price was $355 per phone. What was the corresponding price elasticity of demand? E=______ The demand is going (up/down) by about _____% per 1% increase in that price level.
Currently, 4900 people ride a certain commuter train each day and pay $9 for a ticket. The number of people q willing to ride the train at price p is q = 700 (10- p). The railroad would like to increase its revenue. (a) Is demand elastic or inelastic at p = 9? (b) Should the price of a ticket be raised or lowered? (a) Choose the elasticity of the demand below. inelastic elastic neither (b) What should the railroad do to increase revenue? The price should be lowered. The price should be raised.Currently, 4900 people ride a certain commuter train each day and pay $9 for a ticket. The number of people willing to ride the train at price p is q = 700 (10- p). The railroad would like to increase its revenue. (a) Is demand elastic or inelastic at p = 9 ? (b) Should the price of a ticket be raised or lowered? (a) Choose the elasticity of the demand below. inelastic elastic neither (b) What should the railroad do to increase revenue? The price should be lowered. The price should be raised.…
Suppose the demand for selling a Nintendo Switch console at a price p is modeled by the function ri8, D(p) = V450 -p for 0
10
If the price declines from $400 to $300 and, as a result, quantity demanded increases from 1100 to 1400, elasticity of demand is: a) 1.78 b) 0.92 c) 1.12 d) 3.42
None
Suppose the demand for a product is given by D(p)=-8p+227. A) Calculate the elasticity of demand at a price of $18. Elasticity = (Round to three decimal places.) B) At what price do you have unit elasticity? (Round your answer to the nearest penny.) Price = $
Suppose the price elasticity is -0.4. Then, a 10% increase in price will decrease the quantity demanded by options: A)0.4% B)4% C)25% D)40%
b) When the price is $166.10, the demand is (elastic/inelastic) which means that as price the revenue will (increases/decreases) (increase/decrease)