0 Proposal 2: The other two members of the committee agree with the six month time period but instead recommend that cumulative tire sales during the rst six months after the price increase be compared with cumulative tire sales for the corresponding six months in the previous year. a) Calculate the price elasticities of demand using the two recommended procedures. b) Why do the two estimates dier and which of the two procedures would you favor? c) Did the price change increase or decrease total revenue? d) What other information would you like to have to improve your estimates? In answering these questions for Proposal 1, use the data for the months March 2016 through August 2016 and October 2016 through March 2017. For proposal 2, use the data for the months October 2015 through March 2016 and October 2016 through March 2017. 2) Read the Beauregard Textile case (HBS). a) Which costs are relevant for pricing and which are not? Explain. b) Do a productcost analysis for this product similar to the one we did in class. Assume Beauregard's price is $4.00 and Calhoun and Pritchard's price is $3.00