The weekly sales of Honolulu Red Oranges is given by q=1,170-9p. Calculate the price elasticity of demand when the price is $30 per orange (yes, $30 per orange). Interpret your answer. Also, calculate the price that gives a maximum weekly revenue, and find this maximum revenue.

Microeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506893
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter7: Consumer Choice And Elasticity
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The weekly sales of Honolulu Red Oranges is given by q=1,170-9p. Calculate the price elasticity of demand when the price is $30 per orange (yes, $30 per orange). Interpret your answer. Also, calculate the price that gives a maximum weekly revenue, and find this maximum revenue.

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