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Questions Question 1 An economic consultant for X Corp. recently provided the firm's marketing manager with this estimate of the demand function for the firm's product: Q = 12 000 - 4P + 3 P. -5 M +2 A, where Q% represents the amount consumed of good X, P, is the price of good X, P, is the price of good Y, M is income and A, represents the amount of advertising spent on good X. Suppose good X sells for $200 per unit, good Y sells for $15 per unit, the company utilizes 2 000 units of advertising and consumer income is $10 000 i. Determine the point price elasticity of demand for good X, state whether demand elastic. inelastic, or unitary elastic. 5 marks ii. Determine the cross-price elasticity of demand between good X and good Y, and state whether these two goods are substitutes or complements? 5 marks