Until recently, Dave's Donuts sold their premium chocolate-cornflake-cronut for $3.75, and they would sell 55 per week. Now, Dave has raised the price of the chocolate- cornflake-cronut to $4.25, as a result, they are selling only 45 per week. Using the midpoint rule, find the price elasticity of demand for the chocolate-cornflake- cronut at Dave's Donuts. [a]
Until recently, Dave's Donuts sold their premium chocolate-cornflake-cronut for $3.75, and they would sell 55 per week. Now, Dave has raised the price of the chocolate- cornflake-cronut to $4.25, as a result, they are selling only 45 per week. Using the midpoint rule, find the price elasticity of demand for the chocolate-cornflake- cronut at Dave's Donuts. [a]
Chapter5: Price Elasticity Of Demand And Supply
Section5.3: Determinants Of Price Elasticity Of Demand
Problem 1YTE: According to the previous discussion, what factors influence the price elasticity of demand for...
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When we will use the average percentage change in both quantity and price,then this is called the midpoint method for elasticity and is represented by the following
Price elasticity (mid point )=
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