An economist and a market researcher, Phill and you, were hired to study demand.In a controlled experiment, it was determined that at 8 cents, 100 pencils were sold while at 10 cents, 60 pencils were sold, yielding an elasticity of -2.25.However, Phill and you were industrial spies, employed by the BB Pencil Co. and sent to the Company to cause as much trouble as possible.So Phill and you decided to change the base for their elasticity figure, measuring price in terms of dollars instead of pennies (i.e., $0.08 for 8 cents and $0.10 for 10 cents).How will this sabotage (changing the base for their price elasticity figure) affect the results?You must show all your work including the formulas, and then explain your answer in detail to get full credit.Make sure you define the meaning of the elastic and inelastic demands.