1. When bicycles were $50, the quantity was 20/day, however, when the price rose to $60 the Quantity Demanded dropped to 15. Calculate coefficient: (15 - 20) / [(15 + 20)/2] = -5/17.5 = -.286 = -1.57 (60 - 50) / [(60 + 50)/2] = 10 / 55 .182 Cite Elasticity: Elastic What happens to TOTAL REVENUE: TR decreases