Auckland Zoo visits increased from 600,000 to 720,000 per year when adult admission prices fell from $28 to $24.

a) Calculate the coefficient for Price Elasticity of Demand (PED) due to the change in adult admission price.

Use the mid-point method. Write answer to two (2) decimal places. (2 marks)

b) Interpret the type of PED coefficient from a) above. (1 mark)

Unitary/Inelastic/Elastic

c) State one characteristic of Auckland Zoo visits might have that supports your answer to b) above. (1 mark)