- O Points Show Workings Using Midpoint Method Suppose That When Finance Textbook Are Sold At 15 00 Each They General 1 (134.61 KiB) Viewed 35 times
O points (SHOW WORKINGS using midpoint method): Suppose that when Finance textbook are sold at $15.00 each, they generally sell 70 books per month. If they lower the price to $7.00, sales increase to 90 books per month. Given this information, we know that the price elasticity of demand will be 0.34, and a decrease in the price from $15.00 to $7.00 results in a decrease in total revenue 0.34, and a decrease in the price from $15.00 to $7.00 results in a increase in total revenue 2.91, and an decrease in the price from $15.00 to $7.00 results in a decrease in total revenue 2.91, and an decrease in the price from $15.00 to $7.00 results in a increase in total revenue