Entered Answer Preview 633.33 633.33 i 10.8 At least one of the answers above is NOT correct. (3 points) A firm's individual demand for good x satisfies, anX = 1 721an + (1.2)lnPy + (0.83)lTLM+ (1.3)lnAx. QX is quantity of X, PX is the price of X, Py is the price of Y, a related good, A is advertising and M is income level. If the current advertising budget is A = $ 1493 . What should their advertising be to increase quantity demanded by 19%? $ 633.33 A new ad campaign for Y has increased Py by 9% (%APY = 9%). By what percent will this change quantity demanded of X? t could be positive or negative.) A recession is expected to drive income down by 5% next year (%AM 2 5%) . By _ what percent will this change quantity demanded? (It could be positive or negative.) Entered Answer Preview Result -1.259 -1.259 incorrect The answer above is NOT correct. (1 point) If a price increase from $40 to $57 causes quantity demanded to decrease from 924 to 690, what is the own price elasticity at a price of $40? (give me three decimal places) EQ, P -1.259Entered Answer Preview Result 5583.374 5583.374 incorrect -1.291 -1.291 incorrect 0.035 0.035 correct 0.244 0.244 incorrect -1.973 1.973 incorrect 0.682 0.682 incorrect At least one of the answers above is NOT correct. (6 points) R.C. Willey's economists report that the quantity demanded for their microfiber sofas is given by the equation below. Px is their own price, C and D are other expensive good sold in the store with prices Pc and PD, M is income, and A is advertising expense. QR = 6666.4 - 6.5Px - 8.6Pc + 1.7Pp + 0.01M + 0.03A. How many microfiber sofas will they sell when Px = 383, Pc = 443, PD = 780, M = 47200, and A = 2230? 5583.374 On the following Elasticity calculations, give me three decimal places. What is the own price elasticity of demand at these input values? -1.291 What is the advertising elasticity of demand at these input values? 0.035 What is the income elasticity of demand at these input values? 0.244 What is the cross price elasticity of demand between X and C elasticity of demand at these input values? -1.973 What is the cross price elasticity of demand between X and D elasticity of demand at these input values? 0.682