Graph Input Too! 500 Market for Big Winner's Hotel Rooms 450 300 400 Price (Dollars per room) Quantity Demanded (Hotel rooms per night) 200 300 300 PRICE (Dollars per room) 250 Demand Factors 200 150 Derrand 50 100 50 200 Average Income (Thousands of dollars) Airfare from LAX to LAS Dollars per Foundtrip) Room Rate at Lucky (Dollars per night) i i 0 50 100 150 200 250 300 350 400 450 500 QUANTITY (Hotel rooms) 250 For each of the following scenarios, begin by assuming that all demnand factors are set to their original values and Big Winner is charging $300 per room per night. For each of the following scenarios, begin by assuming that all demand factors are set to their original values and Big Winner is charging $300 per room per night. If average household income increases by 20%, from $50,000 to $60,000 per year, the quantity of rooms demanded at the Big Winner from Orooms per night to rooms per night. Therefore, the income elasticity of demand is meaning that hotel rooms at the Big Winner are If the price of an airline ticket from LAX to LAS were to increase by 10%, from $200 to $220 roundtrip, while all other demand factors remain at their initial values, the quantity of rooms demanded at the Big Winner y from rooms per night to rooms per night. Because the cross-price elasticity of demand is hotel rooms at the Big Winner and airline trips between LAX and LAS are Big Winner is debating decreasing the price of its rooms to $275 per night. Under the initial demand conditions, you can see that this would cause its total revenue to Decreasing the price will always have this effect on revenue when Big Winner is operating on the portion of its demand curve