Assume that the marginal cost to a grocery of selling a bottle of salad dressing to customers

Question:

Assume that the marginal cost to a grocery of selling a bottle of salad dressing to customers who use coupons versus those who don’t is identical and equal to $ 1.50. If the elasticity of demand of users is 5 versus 1.25 for noncoupon users, how much of a per-unit discount should the store make available through coupons? What if users have a demand elasticity equal to 2 versus 1.25 for noncoupon users?

Coupon
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate (the sum of coupons paid in a...