Chapter 14, Problem 26RE

(a)

To determine

The reason for $\frac{\partial S}{\partial A}>0$ if S is the number of units of sales of a product which is a function of A, the dollars spent for advertising and the product price p.

(b)

To determine

Whether $\frac{\partial S}{\partial p}$ is positive or negative if the function is $S=f\left(A,p\right)$, where S is a function of the dollars spent for advertising, A, and the product’s price, p.