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TODAY 6. Samsung cell phone company wants to increase its total revenue. The company choose a strategy is to offer a 20% discount on every

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TODAY 6. Samsung cell phone company wants to increase its total revenue. The company choose a strategy is to offer a 20% discount on every cellphone it sells. The company divide its customers into two distinct groups according to their likely responses to the discount. The table given below, shows how the two groups respond to the discount. Group A (sales per week) Group B (sales per week) Volume of sales before the 20% discount 1.50 million 1.40 million Volume of sales after the 20% discount 1.70 million 1.80 million a. Calculate the price elasticities of demand for group A and group B using midpoint formula. b. Explain how the discount will affect total revenue from each group

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