For numbers 2-4

#2 When abdominoplasty costs were $6,000, Dr. Hurwitz treated 300 patients.

When they increased the price to $7,400,customers decreased to 250. What is the elasticity of demand for abdominoplasty using arc elasticity or the midpoints formula (rounded-off to 2 decimal places)?

A. - 0.21

B. - 0.87

C. - 2.03

D. -1.15

E. -8.70

#3 The elasticity of demand for abdominoplasty can be described as

A. elastic

B. inelastic

C. unitary elastic

D.all of the above

#4. In terms of raising revenue (or sales) as a goal

A.The doctor was correct in increasing price

B. The doctor was incorrect in raising price

C.Revenue did not change with the doctor increasing price

D.none of the above

Answer rating: 100% (QA)

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