Question: Adiditional question - on the demand curve containing points a and c , the price elasticity of demand for a price cut from $3 to

Adiditional question - on the demand curve containing points a and c , the price elasticity of demand for a price cut from $3 to $2 is

Score: 0.5 of 1 pt End of Chapter 1.10 Questio You own a hot dog stand that you set up outside the student union every day at lunch time. Currently, you are selling hot dogs for a price of $3, and you sell 30 hot dogs a day (point A on the diagram). You are considering cutting the price to $2. The graph shows two possible increases in the quantity sold as a result of your price cut. Use the information in the graph (new quantities are given on the A horizontal axis) to calculate the price elasticity between these two prices on each of 3-.... the demand curves. Use the midpoint formula to calculate the price elasticities. On the demand curve containing the points "A" and "B", the price elasticity of C B demand for a price cut from $3 to $2 is . (Hint: Include the negative sign and Price (dollars per hot dog) enter your response rounded to two decimal places.) D- 1- D1 :42 :73 10 20 30 40 50 60 70 Quantity (hot dogs per day)

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