please help with question #1. please use % change in quantity divided by % change in price formula. thanks for your help.

Cal Overhaut operates an ExxonMobil gas station franchise in Fitzhugh, MD. The price of gasoline is volatile and varies significantly from day to day. The price per gallon varies based on the seasonal blend of gasoline, which is determined by clean-air requirements. Cal's pricing options are based on the desired profit margin Conventional Gasoline Regular Spot Prices can be found at https://www.eia.gov/dnav/pet/hist/EER EPMRU PF4 Y35NY DPGD.htm. Cal recently raised the price of regular gas by 1 cent per gallon from $2.749 to $2.759, and his profit declined. Cal would like you to explain why that happened. Cal competes with another gas station across the street that typically sells regular gas for 2 to 3 cents per gallon less than his station. They are currently selling gasoline for $2.729 per gallon. Recently, regular gasoline for delivery in New York harbor sold for $1.740 per gallon. 17 Cal tells you that his gas station has fixed operating costs of about $250 per day 18 19 To the right are the components that determine the cost of a gallon of regular gasoline to Cal's business. 20 21 Answer the seven questions below. You are required to use Excel for all calculations. 22 Profit Maximization Base price of unleaded regular delivered in New York harbor (October 21, 2019) $1.740 Added cost to Cal: Maryland state gasoline tax (Effective July 1, 2018) Federal gasoline tax Distribution & Delivery Advertising and Marketing to Exxon Mobil Additives Total additions $0.353 $0.184 $0.042 $0.042 $0.020 $0.641 Total cost per gallon $2.381 Answer the seven questions Veuw. Tuuderequired to us LALEITI nariai 3 4 1. Last week, Cal sold an average of 4,000 gallons per day at an average price of $2.749 per gallon. This 25 week, he raised the average price by 1 cent to $2.759 per gallon, and both revenues and profits dropped. 26 His station is now selling an average of 3,600 gallons per day. Fixed costs of operating the gas station are 27 $250 per day. 28 29 What is the price elasticity of demand? 30 Can the demand be characterized as price elastic, price inelastic, or neither? 31 By how much did revenues increase or decrease as a result of the change in price? 22 By how much did profits increase or decline? (Profits are revenue minus all costs.) 33 34 35 L M N Q R 23 Answer question 1 below. 24 Quantity Price 25 4000 2.749 3600 2.759 Average Average 28 3 800 2.754 29 % change % change Elasticity of Demand 30 31 32 Elasticity: Select One 33 By how much did revenues increase or decrease as a result of the change in price? 34 By how much did profits increase or decline? 35 Gallons sold per day Price Revenue (price x gallons) Variable Cost (st Cost per Gallon per unit x volume) S 2.381 $ 9,524.00 Fixed cost per day Total Cost (Fixed + Variable) Daily Profit (revenue - all costs) 4000 3600 $ $ 2.749 $ 2.759 10,996.00 $ 250.00 $ 38 9,774.00 $ 1,222.00 40 Answer question 2 below. 41 Quantity Price