Safari File Edit View History Bookmarks Window Help 11172 Q Mon Dec 12 4:36 PM ...

Safari File Oliv... Edit View Less... History Bookmarks Nam... Window Final Ex... Help Cour... a Sign... ocmoodle.oldscollege.ca [Sol... Student Support DAZ... O Wat... u 11172 O HDO... Wat... UFC... Mon Dec 12 4:36 PM 00 oo Wha... My Courses Olds College Resources ca I_ ECN 1010-41-40118 (422) Participants Grades ECN 1010 - Microeconomics Economics Toolkit Chapter 1 - The Economic Problem b Chapter 2 - Demand and Supply: An Introduction b Chapter 3 - Demand and Supply: An Elaboration b Chapter 4 - Elasticity b Chapter 5 - Consumer Choice b Chapter 6 - A Firm's Production Decisions and Costs in the Short Run A local specialty wine store normally sells an average of 112 imported wines from France - per month - over 6 months at an average of $14.1 each. The price elasticity of Demand for these wines is estimated to be -1.31. Recent government regulations, Canadian Dollar value changes and transportation costs have increased costs considerably resulting in higher breakeven prices for all items. In order to capture economic profits the store manager decides to take some action and re-prices the inventory in the store. If the manager increases the price of French Wines by 10% how many_ bottles of French Wine will they sell? ** HINT - use the basic formula: Elasticity = (Unknown Q I Change in Price) x (Average Price/ Average Quantity sold) ** enter your answer for HOW many bottles of French Wine will be sold FOLLOWED by whether the elasticity value is inelastic or elastic. egJ9 Inelasti ONLY ENTER NUMBERS - NO $ AND NO COMMAS - THANK YOU DO NOT ROUND YOUR ANSWERS WHILE DOING YOUR CALCULATIONS - USE 2 DECIMAL PLACEMENTS PLEASE W sasa OO Emmanuel Mukolo Question 4 Not yet answered Points out of 4.00 V Flag question