Assume two firms exist in the market, Buckley and Stetler. If they merge, they will have fixed costs of $140,000, marginal costs of $50, and a market share of 6 percent. The price elasticity of demand for clinic services is -0.22. Assume the volume of patients at the profit-maximizing price is 24,600. The merged firm's estimated price elasticity of demand is

a.

-3.667

b.

-0.3667

c.

-36.667

d.

-6