R and B Railroad decided to reduce their fares to see if it would help their business. They reduced their ticket prices by 25 per cent on average and their sales increased from $325,000 per month to $334,750 on average. 1. How much is the price elasticity of demand of the ticket of R and B Railroad? Use a number, 2 decimal values, no commas, no space, no signs. * 2. How much is the percentage change in the ticket price of R and B Railroad? Use a number, no decimal values, no commas, no space, no signs. *
R and B Railroad decided to reduce their fares to see if it would help their business. They reduced their ticket prices by 25 per cent on average and their sales increased from $325,000 per month to $334,750 on average. 1. How much is the price elasticity of demand of the ticket of R and B Railroad? Use a number, 2 decimal values, no commas, no space, no signs. * 2. How much is the percentage change in the ticket price of R and B Railroad? Use a number, no decimal values, no commas, no space, no signs. *
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Please answer all the questions.
R and B Railroad decided to reduce their fares to see if it would help their business. They reduced their ticket prices by 25 per cent on average and their sales increased from $325,000 per month to $334,750 on average.
1. How much is the
2. How much is the percentage change in the ticket price of R and B Railroad? Use a number, no decimal values, no commas, no space, no signs. *
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