The demand for a car wash is x = 1000 – 40p, where the current price is $3. Find the price elasticity of demand n for this price. = Can revenue be increased by lowering the price and thus attracting more customers? Yes, because the demand is elastic. O Yes, because the demand is inelastic. O No, because the demand is elastic. O No, because the demand is inelastic.

Advanced Engineering Mathematics
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ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
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The demand for a car wash is \( x = 1000 - 40p \), where the current price is $3. Find the price elasticity of demand \( \eta \) for this price.

\[ \eta = \]

Can revenue be increased by lowering the price and thus attracting more customers?

- Yes, because the demand is elastic.
- Yes, because the demand is inelastic.
- No, because the demand is elastic.
- No, because the demand is inelastic.
Transcribed Image Text:The demand for a car wash is \( x = 1000 - 40p \), where the current price is $3. Find the price elasticity of demand \( \eta \) for this price. \[ \eta = \] Can revenue be increased by lowering the price and thus attracting more customers? - Yes, because the demand is elastic. - Yes, because the demand is inelastic. - No, because the demand is elastic. - No, because the demand is inelastic.
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