Question

Suppose the absolute value of the price elasticity of demand for basketball game tickets on yur campus is greater than 1. Increasing ticket prices will increase the total revenue from ticket sales. True False

Answer 1

Ans.

Ane false Price (P) lamtity (9) lola revenue (ro) $10 __$ 20- GOO 200 $6,000 4,000 DP = $(20-10) = $10 Ap=_1,900-900-400 Price elasticity of demand op 18 ) تم ) helo (21) 2 - 48 x Tid) _-1.5 ({d21) Elastic but total Henes ped in 1.5 seevenue decreases.

Au horizontal A perfectly elastic demand curine is horizonel ] _ because the pin elasticita q demand is liutining 12d=* It in infinity because the commodity but change commodity there in is no change in price of quantity debrand for the Au. false the cron piece elasticity between and the can pice elasticity and bus travel the pasitive new cars and between new used cars cay Since price of the new cars and - and ben trane poll or can say direction demand more for ured Cars in the name Aus. & the by the percentage percentage change in the quantity demanded of Coca-cols change in the price of pessic cale. % change in the quantity dement The cron between price elasticity Coca-Cola and Pepsi-cale Ror Coca-cola change in the peace of pepsicals