The demand for good E is given by: d Qe = 5,000 - 0.2Pe + 0.4Pf - 0.1M + 0.1Ae (where A = Advertising) Income is $50,000 and the price of good F is $4,000. a. Indicate whether goods E and F are substitutes or complements. b. Is E a normal or inferior good? c. If Pe = $6,000, what advertising expenditure will stimulate sales of 10,000 units of E?

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