Question
Adelaide has a booth at a farmer's market selling cauliflower. Up until last week, she had her cauliflower listed for $4.50 per head and she
Adelaide has a booth at a farmer's market selling cauliflower. Up until last week, she had her cauliflower listed for $4.50 per head and she was selling 40 heads of cauliflower on average. She has since dropped the price of a head of cauliflower to $3.50 and her sales have increased to 60 heads.
(a) Using the midpoint rule, what is the percentage change in the quantity of cauliflower sold from the drop in price? (Enter your answer as a percentage with no decimals (i.e. 35% or -10%))
(b) Using he midpoint rule, what is the percentage change in the price of a head of Adelaide's cauliflower? (Enter your answer as a percentage with no decimals (i.e. 35% or -10%))
(c) Using the midpoint rule, what is the price elasticity of demand for Adelaide's cauliflower? (Enter your answer rounded to one decimal place)
(d) Is the demand for the cauliflower elastic or inelastic?
(e) Does her total revenue increase or decrease with the change in price? (Enter either increase or decrease, do not write a complete sentence)
Question 14 20 pts Adelaide has a booth at a farmer's market selling cauliflower. Up until last week, she had her cauliflower listed for $4.50 per head and she was selling 40 heads of cauliflower on average. She has since dropped the price of a head of cauliflower to $3.50 and her sales have increased to 60 heads. (a) Using the midpoint rule, what is the percentage change in the quantity of cauliflower sold from the drop in price? (Enter your answer as a percentage with no decimals (i.e. 35% or -10%)) (b) Using he midpoint rule, what is the percentage change in the price of a head of Adelaide's cauliflower? (Enter your answer as a percentage with no decimals (i.e. 35% or -10%)) (c) Using the midpoint rule, what is the price elasticity of demand for Adelaide's cauliflower? (Enter your answer rounded to one decimal place) (d) is the demand for the cauliflower elastic or inelastic? (e) Does her total revenue increase or decrease with the change in price? (Enter either increase or decrease, do not write a complete sentence)Step by Step Solution
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