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Dixie Chicken sells an average of 2006 Freddie Burger platters per month over the past 6 months at an average of $8.57 each. The price
Dixie Chicken sells an average of 2006 Freddie Burger platters per month over the past 6 months at an average of $8.57 each. The price elasticity of Demand for this platter is estimated to be -0.38. If Dixie Chicken decreases the price of the platter by 20% how many Ereddie Burger platters will Dixie Chicken sell? HINT- use the basic formula: Elasticity = (Unknown Q Change enter your answer for HOW many Burger platters will be sold FOLLOWED by whether the elasticity value is inelastic or elastic. e.g. 1274 elastic or e.g. 2814 inelastic Answer: 2156 INE in Price) x (Average Price / Average Quantity sold)
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