Economics For Today
Economics For Today
10th Edition
ISBN: 9781337670654
Author: Tucker
Publisher: Cengage
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Chapter 1.A, Problem 2SQP
To determine

Demand schedule.

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Mr. Jones sells scrapbooking materials. He charges $20 per album and sells 120 albums month at this price. He plans to decrease the price to generate more sales. A survey indicated that for every $0.50 decrease in price, he can expect to sell 5 more albums.   Write the expressions for the price of an album and the number of albums sold in one month Write an equation for the revenue using your expressions from part a. What price will generate the maximum revenue? What is the maximum revenue he can generate in one month?
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