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Which of the following is/are correct? (1) If price elasticity of demand = 0, total revenue is maximised If income elasticity of demand is -1.5
Which of the following is/are correct? (1) If price elasticity of demand = 0, total revenue is maximised If income elasticity of demand is -1.5 then an increase in income of 12% results in a fall in quantity demanded by 18% and the good is inferior. (iii) Price elasticity of demand is constant for a demand curve with constant slope. (iv) Pepsi and coke are likely to have a positive cross price elasticity of demand O A. Only (ii) and (iv) are correct. O B. Only (ii) is correct. O C. None of the above are correct. O D. Only (i) is correct. O E. Only (i) and (iii) are correct
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