Question: Jack runs a small convenience store which sells freshly baked

Jack runs a small convenience store, which sells freshly baked cookies (they are displayed near the cash register, to tempt buyers as they pay for their other purchases). Jack has been uncertain about how to price the cookies he sells (he vaguely remembers a concept called "price-elasticity of demand" from his class in economics at business school). Jack has experimented by charging a different price on a randomly selected number of days. The data he has collected are shown in Exhibit 2.69, opposite. Create an appropriate graph for these data, and comment on the relationship.
In exhibit

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  • CreatedJuly 12, 2015
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