Q1. Assume that the price elasticity of demand for movie theatres is -.85 during all evening shows but for all afternoon shows the price elasticity of demand is -2.28. For the theatre to maximize total revenue, it should

a)Charge the same price for both shows, holding other things constant.

b)Charge a higher price for the afternoon shows and lower price for the evening

shows, holding other things constant

c)Charge a lower price for the afternoon shows and higher price for the evening

shows, holding other things constant

d)Need more information

Q2.Firm A producing one good acquires another firm B producing another good. Price elasticity of demand for Firm A's good is -1.8 and Firm's B is -1.8. Holding other things constant and assuming both goods are complements, the acquiring firm should

a)lower prices on both goods with a larger decrease in Firm A's good

b)lower prices on both goods with a larger decrease in Firm B's good

c)Lower prices on both goods by the same amount

d)Lower prices on both goods

Q3. The expected value of a random variable is

a) the product of the sums of the probability and the values in different states

b)the sum of the products of the probability and the values in different states

c)the difference between the products of the probability and the values in different states

d)the difference between the sums of the probability and the values in different states

Please answers and explanations !