The question are in the pictures. Use AACT Pic 1 (The graph) for referance Demand FactorInitial ValueAverage American household income$40,000 per yearRound trip airfare from Los Angeles (LAX) to Las Vegas (LAS)$100 per round tripRoom rate at the Exhilaration Hotel and Casino, which is near the Triple Sevens$200 per nightUse the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph.Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly.Graph Input ToolMarket for Triple Sevens's Hotel Rooms500450Price(Dollars per room)150400QuantityDemanded(Hotel rooms pernight)350350300250Demand Factors200Average Income(Thousands ofdollars)15040Demand100Airfare from LAX toLAS(Dollars per roundtrip)Room Rate atExhilaration(Dollars per night)100500 50 100 150 200 250 300 350 400 450 500200QUANTITY (Hotel rooms)PRICE (Dollars per room) For each of the following scenarios, begin by assuming that all demand factors are set to their original values and that Triple Sevens is charging $150per room per night.If average household income increases by 25%, from $40,000 to $50,000 per year, the quantity of rooms demanded at the Triple Sevensfromrooms per night to|rooms per night. Therefore, the income elasticity of demand ismeaning that hotel rooms at theTriple Sevens areIf the price of a room at the Exhilaration were to decrease by 20%, from $200 to $160, while all other demand factors remain at their initial values,the quantity of rooms demanded at the Triple Sevensfromrooms per night torooms per night. Because the cross elasticity ofdemand is, hotel rooms at the Triple Sevens and hotel rooms at the Exhilaration areTriple Sevens is debating decreasing the price of its rooms to $125 per night. Under the initial demand conditions, you can see that this would causeits total revenue to. Decreasing the price will always have this effect on revenue when Triple Sevens is operating on theportion of its demand curve.

Demand refers to the quantity that c consumer wishes to purchase at a given price in a given period…

Demand Factor Initial Value Average American household income $40,000 per year Round trip airfare from Los Angeles (LAX) to Las Vegas (LAS) $100 per round trip Room rate at the Exhilaration Hotel and Casino, which is near the Triple Sevens $200 per night Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool Market for Triple Sevens's Hotel Rooms 500 Price (Dollars per room) 150 50 400 Quantity Demanded (Hotel rooms per night) 350 350 300 250 Demand Factors 200 Average Income (Thousands of dollars) 150 40 Demand 100 Airfare from LAX to LAS (Dollars per round trip) Room Rate at Exhilaration (Dollars per night) 100 50 50 100 150 200 250 300 350 400 450 500 200 QUANTITY (Hotel rooms) PRICE (Dollars per room)