Figure 5 10 44 Refer to Figure 5 10 When the price is 30 total revenue is a

Figure 5 10 44 refer to figure 5 10 when the price is

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Figure 5-1044.Refer to Figure 5-10. When the price is $30, total revenue is a. $3,000. b. $5,000. c. $7,000. d. $9,000. 45.Refer to Figure 5-10. When price falls from $50 to $40, demand is 46.Refer to Figure 5-10. An increase in price from $20 to $30 would 47.Refer to Figure 5-10. An increase in price from $30 to $35 would 48.Last month, sellers of good Y took in $100 in total revenue on sales of 50 units of good Y. This month sellers of good Y raised their price and took in $120 in total revenue on sales of 40 units of good Y. At the same time, the price of good X stayed the same, but sales of good X increased from 20 units to 40 units. We can conclude that goods X and Y are a. substitutes, and have a cross-price elasticity of 0.60. b. complements, and have a cross-price elasticity of 0.60. c. substitutes, and have a cross-price elasticity of 1.67. d. complements, and have a cross-price elasticity of 1.67. 49.Which of the following could be the cross-price elasticity of demand for two goods that are complements? Demand50100 150 200 250 300 350 400 450 500 550Quantity510152025303540455055Price
Page 11 of 25 50.A good will have a more inelastic demand, the 51.Other things equal, the demand for a good tends to be more inelastic, the 52.For a particular good, a 10 percent increase in price causes a 5 percent decrease in quantity demanded. Which of the following statements is most likely applicable to this good? a. There are many close substitutes for this good. b. The good is a necessity. c. The market for the good is narrowly defined. d. The relevant time horizon is long. 53.Suppose that 500 candy bars are demanded at a particular price. If the price of candy bars rises from that price by 10 percent, the number of candy bars demanded falls to 480. Using the midpoint approach to calculate the price elasticity of demand, it follows that the

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