Pls answer all 4 of them and make the answer easy and clear to understand thank u
10. . The Teenager Company makes and sells skateboards at an average price of $70 each. Dur- ing the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5. If it decreaSes the price to $53, what should be the quantity sold? Will revenue increase? Why? . The ABC Company manufactures digital clock radios and sells on average 3,000 units monthly at $25 each to retail stores. Its closest competitor produces a similar type of radio that sells for $28. a. If the demand for ABC's product has an elasticity coefcient of -3, how many will it sell per month if the price is loWered to $22? b. The competitor decreases its price to $24. If cross-price elasticity between the two radios is 0.3, what will ABC's monthly sales be? . The Mesa Redbirds football team plays in a stadium with a seating capacity of 80,000. How- ever, during the past season, attendance averaged only 50,000. The average ticket price was $30. If price elasticity is -4, what price would the team have to charge in order to ll the stadium? If the price were to be decreased to $27 and the average attendance increased to 60,000, what is the price elasticity? . The Efcient Software Store had been selling a spreadsheet program at a rate of 100 per month and a graphics program at the rate of 50 per month. In September 2012, Eicient's supplier lowered the price for the spreadsheet program, and Efcient passed on the savings CHAPTER 4 Demand Elasticity 97 to customers by lowering its retail price from $400 to $350. The store manager then noticed that not only had sales of the spreadsheet program risen to 120, but also the sales of the graphics program increased to 56 per month. Explain what has happened. Use both are price elasticity and arc cross-elasticity measures in your answer. Given the demand equation Q = 1,500 - 200R calculate all the numbers necessary to ll in the following table: Elasticity Total Marginal P Q Point Arc Revenue Revenue $7 .00 6.50 6.00 5.00 4.50 4.00 3.50 3.00 2.50 6. The Teenager Company makes and sells skateboards at an average price of $70 each. Dur- ing the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5. If it decreases the price to $63, what should be the quantity sold? Will revenue increase? Why? 7. The ABC Company manufactures digital clock radios and sells on average 3,000 units monthly at $25 each to retail stores. Its closest competitor produces a similar type of radio that sells for $28. a. If the demand for ABC's product has an elasticity coefficient of -3, how many will it sell per month if the price is lowered to $22? b. The competitor decreases its price to $24. If cross-price elasticity between the two radios is 0.3, what will ABC's monthly sales be? 8. The Mesa Redbirds football team plays in a stadium with a seating capacity of 80,000. How- ever, during the past season, attendance averaged only 50,000. The average ticket price was $30. If price elasticity is -4, what price would the team have to charge in order to fill the stadium? If the price were to be decreased to $27 and the average attendance increased to 60,000, what is the price elasticity? 9. The Efficient Software Store had been selling a spreadsheet program at a rate of 100 per month and a graphics program at the rate of 50 per month. In September 2012, Efficient's supplier lowered the price for the spreadsheet program, and Efficient passed on the savings CHAPTER 4 Demand Elasticity 97 to customers by lowering its retail price from $400 to $350. The store manager then noticed that not only had sales of the spreadsheet program risen to 120, but also the sales of the graphics program increased to 56 per month. Explain what has happened. Use both arc price elasticity and arc cross-elasticity measures in your answer.10. The Teenager Company makes and sells skateboards at an average price of $70 each. Dur- ing the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5. If it decreases the price to $53, what should be the quantity sold? Will revenue increase? Why? The ABC Company manufactures digital clock radios and sells on average 3,000 units monthly at $25 each to retail stores. Its closest competitor produces a similar type of radio that sells for $28. a. If the demand for ABC's product has an elasticity coefcient of -3. how many will it sell per month if the price is lowered to $22? b. The competitor decreases its price to $24. If cross-price elasticity between the two radios is 0.3, what will ABC's monthly sales be? The Mesa Redbirds football team plays in a stadium with a seating capacity of 80,000. How- ever, during the past season, attendance averaged only 50,000. The average ticket price was $30. If price elasticity is 4, what price would the team have to charge in order to ll the stadium? If the priCe Were to be decreased to $27 and the aVerage attendance increased to 60,000, what is the price elasticity? The Efcient Software Store had been selling a spreadsheet program at a rate of 100 per month and a graphics program at the rate of 50 per month. In September 2012, Eicient's supplier loWet'ed the price for the spreadsheet program, and Efcient passed on the savings CHAPTER 4 Demand Elasticity 97 to customers by lowering its retail price from $400 to $350. The store manager then noticed that not only had sales of the spreadsheet program risen to 120, but also the sales of the graphics program increased to 56 per month. Explain what has happened. Use both are price elasticity and arc cross-elasticity measures in your answer. Given the demand equation Q = 1,500 20013, calculate all the numbers necessary to fill in the following table
