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The weekly sales of Honolulu Red Oranges is given by q =90018 p . Calculate the price elasticity of demand when the price is$30per orange
The weekly sales of Honolulu Red Oranges is given by
q=90018p.
Calculate the price elasticity of demand when the price is$30per orange (yes,$30per orange). HINT [See Example 1.]
Interpret your answer.
The demand is going? by% per 1% increase in price at that price level.
Also, calculate the price that gives a maximum weekly revenue.
$
Find this maximum revenue.
$
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