Consider the demand equation Qd=300-3p, where Qd represents quantity demanded and P the selling price.

a. Calculate the arc price elasticity of demand when P=Ghc4 and P = Ghc 3

b. Calculate the point price elasticity of demand at these prices. Is demand for this goods elastic or inelastic at these prices?

c. What, if anything, can you say about the relationship between the price elasticity of demand and the total revenue at these prices.