During a recent 30-day period, the Squish restaurant sold 600 Ocean Delights at a price of $6.45. During the next 30-day period, the price was increased to $6.95, and 400 Ocean Delights were sold. Calculate the price elasticity of demand and indicate if

During a recent 30-day period, the Squish restaurant sold 600 Ocean Delights at a price of $6.45. During the next 30-day period, the price was increased to $6.95, and 400 Ocean Delights were sold. Calculate the price elasticity of demand and indicate if

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

During a recent 30-day period, the
Squish restaurant sold 600 Ocean
Delights at a price of $6.45. During the
next 30-day period, the price was
increased to $6.95, and 400 Ocean
Delights were sold. Calculate the price
elasticity of demand, and indicate if
demand is elastic or inelastic
multiple question
1, elastic
4.125, elastic
4.125, inelastic
1, inelastic

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