For the following demandfunction, find a. E, and b. the values of q(if any) at which total
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Question:
For the following demandfunction, find a.E, and b. the values of q(if any) at which total revenue is maximized.
q=39,8002p2
a. Determine the elasticity ofdemand, E.
E=
(An expression using p as thevariable.)
b. Determine the value of q that maximizes the revenue. Select the correct choicebelow, and ifnecessary, fill in the answer box within your choice.
A. Total revenue is maximized at about q=
(Round to the nearest whole number asneeded.)
B. No values of q maximize total revenue.
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