Suppose that friend A suggests the price increase to increase the total revenue and on the other hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if the suggestions given by friend A and friend are correct or not. Y O Price P₁ D Q Q₁ Quantity Demanded a. Both friend A and friend B are correct. b. Both friend A and friend B are incorrect. c. Friend A is correct, and Friend B is incorrect. d. Friend A is incorrect, and Friend B is correct.

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Suppose that friend A suggests the price increase to increase the total revenue and on the other
hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if
the suggestions given by friend A and friend are correct or not.
YO
Price
P
P₁
D
Q
Q₁
Quantity Demanded
a. Both friend A and friend B are correct.
b. Both friend A and friend B are incorrect.
c. Friend A is correct, and Friend B is incorrect.
d. Friend A is incorrect, and Friend B is correct.
Transcribed Image Text:Suppose that friend A suggests the price increase to increase the total revenue and on the other hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if the suggestions given by friend A and friend are correct or not. YO Price P P₁ D Q Q₁ Quantity Demanded a. Both friend A and friend B are correct. b. Both friend A and friend B are incorrect. c. Friend A is correct, and Friend B is incorrect. d. Friend A is incorrect, and Friend B is correct.
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