Question 1 (8 pts] Brendan is the new CEO of MAD magazine ( psi[www.madmagazinecoml Good Job! You have noticed that Kids these days don't seem to enjoy the magazine as much, changing times perhaps. The following table provides you with price elasticity measures recorded through the times. Price Elastgfof initial quantity demanded Initial Price Deman {thousand} {5} 12 Month [6 29.99 issues} Single issue 4.99 4. [2 points] If you were to decrease the price of the single issue magazine to $3.99, what would be the percent decrease in price? show your work. 5. [2 points] If the price of the single issue magazine changed to $2.99 from $4.99, what is the new quantity demanded of magazines? show your work. 6. [1 points] If you were to Increase the price of the 12 month subscription magazine to $34.99, what would be the percent increase in price? show all your work. 7. [2 points] You have also discovered that the cross price elasticity of cigarettes (price) and MAD {quantity} is: E(Qmad, PM = *D- 5 i. What can you say about cigarettes and MAD magazine, What types of goods are they? ii. If the price of cigarettes have increased from $5 to $20 for a pack, what will be the impact to MAD magazines demanded, if any