Question: The demand function for a Christmas music CD is given by q = 0.6(3100 - p2) where a (measured in units of a hundred) is

The demand function for a Christmas music CD is given by q = 0.6(3100 - p2) where a (measured in units of a hundred) is the quantity demanded per week and p is the unit price in dollars. (a) Evaluate the elasticity at p = 15. E(15) = (b) Given the computed elasticity value in part (a), is the Christmas music CD an Elastic or Inelastic item ? (c) Should the unit price be lowered slightly from p = 15 in order to increase revenue? (d) Find the value for E to maximize revenue. E = yes no

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

(1 point) The short term demand for a product can be approximated by q = D(p) = 15 0.7;), where p represents the price of the product, in dollars, and q is the quantity demanded. Find the elasticity...

The short term demand for a product can be approximated by q = D(p) = 10 - 0.7p, where p represents the price of the product, in dollars, and q is the quantity demanded. Find the elasticity function...

The demand function for a Christmas music CD is given by q = 0.6(3100 - p2) where x (measured in units of a hundred) is the quantity demanded per week and p is the unit price in dollars. (a) Evaluate...

Please show work and to type out the answer also The demand function for a Christmas music CD is given by q= 0.65(650 - p2) where q (measured in units of a hundred) is the quantity demanded per week...

The demand function for a Christmas music CD is given by x = 0.25(225 p 2 ) Where x (measured in units of a hundred) is the quantity demanded per week and p is the unit price in dollars. a) Evaluate...

(I points) The demand function for a Christmas music album is given by q = 0.3(350 p2) where q (measured in units of a hundred albums) is the quantity demanded per week and p is the unit price in...

(1 pt) The demand function for a Christmas music CD is given by x = 0.25(225 p) Where x(measured in units of a hundred) is the quantity demanded per week and p is the unit price in dollars. (a)...

9. [-l4 Points] DETAILS WANEFMAC7 11.2.006. Find the marginal cost, marginal revenue, and marginal prot functions. C(x) = 7x2; R(X) = x3 + 11x + 18 marginal cost marginal revenue marginal profit Find...

1. The table below shows hypothetical outputs for 3 countries and 2 states of nature related to world climate conditions which may happen with 60 and 40 percent of probability. respectively....

The observed standing-wave ratio on a 100- lossless line is 8. If the first maximum voltage occurs at 0.3A from the load, calculate the load impedance and the voltage reflection coefficient at the...

( 1 2 - 5 ) At year - end 2 0 1 9 , Wallace Landscaping's total assets were \ ( \ $ 2 . 1 7 \ ) million, and its ac - Long - Term counts payable were \ ( \ $ 5 6 0 , 0 0 0 \ ) . Sales, which in 2 0 1...

use the 4 action framework from the textbook to describe how you are going to build competitive advantages for IMAX in the market?

Self-awareness is linked to the businesss results.

1. Too reflect on self-management

Food supply