MUST BE ABSOLUTLEY 100 % ORIGINAL WITH REFERENCES IF ANY PERCENTAGE IS FOUND TO BE PLAGIARIZED, IMMEDIATE REFUND WILL BE REQUESTED Over the last year your boss has noticed that it would be useful for your firm to understand how consumers behave when variables in the market change and how these changes affect the total revenue for your product. You have been asked to do an analysis for your product, Good A, by addressing the following questions and reporting the results to your boss in a formal paper. Questions: Define the price elasticity of demand? What information does it provide? How is it calculated? Define the income elasticity of demand? What information does it provide? How is it calculated? Define the cross-price elasticity of demand? What information does it provide? How is it calculated? What is total revenue? How is it calculated? Define elastic, inelastic, and unitary elasticity means. How are these related to total revenue? Explain your answers. With respect to the price elasticity of demand, construct a graph using the data in Figure1. Illustrate the ranges on the demand curve that indicate elastic, inelastic, and unitary elasticity. Explain your answers. Enter non-numerical responses in the same worksheet using textboxes. Calculate the total revenue for each level of demand and post into the table, Figure 1. (Copy and paste this table into the Microsoft Word document that will form part of your submission.) Using the midpoints formula presented in the textbook, calculate the price elasticity coefficient for each price level, starting with the coefficient for the $4 to $6 level. For each coefficient, indicate each type of elasticity: elastic demand, inelastic demand, or unitary demand. Post your answers into the table, Figure 1. Assume that the income of consumers changes by 10%, and as a result the quantity demanded for Good A changes by 8%. What is the income elasticity of demand for Good A? What does this mean for your company? Assume that the price of competing Good B decreases by 5% and as a result, the quantity demand for Good A decreases by 8%. What is the cross-price elasticity for your product? What type of goods are Good A and Good B? Figure 1: The Demand Schedule for Barbeque Dinners Price Quantity Demanded Total Revenue Elasticity Coefficient Elastic or Inelastic $4 100 __________ XXXX XXXX 6 80 __________ __________ __________ 8 60 __________ __________ __________ 10 40 __________ __________ __________ 12 20 __________ __________ __________ 14 1 __________ __________ __________ Required: Prepare an analysis by answering the above-noted questions. Your analysis will consist of two documents as follows: Microsoft Word document : Questions 1-5, 7-10. Microsoft Excel worksheet: Question 6 .

1. MUST BE ABSOLUTLEY 100 % ORIGINAL WITH
REFERENCES
IF ANY PERCENTAGE IS FOUND TO BE PLAGIARIZED,
IMMEDIATE REFUND WILL BE REQUESTED
Over the last year your boss has noticed that it would be useful
for your firm to understand how consumers behave when
variables in the market change and how these changes affect the
total revenue for your product. You have been asked to do an
analysis for your product, Good A, by addressing the following
questions and reporting the results to your boss in a formal
paper.
Questions:
Define the price elasticity of demand? What information does it
provide? How is it calculated?
Define the income elasticity of demand? What information does
it provide? How is it calculated?
Define the cross-price elasticity of demand? What information
does it provide? How is it calculated?
What is total revenue? How is it calculated?
Define elastic, inelastic, and unitary elasticity means. How are
these related to total revenue? Explain your answers.
With respect to the price elasticity of demand, construct a graph
using the data in Figure1. Illustrate the ranges on the demand
curve that indicate elastic, inelastic, and unitary elasticity.
Explain your answers. Enter non-numerical responses in the
same worksheet using textboxes.
Calculate the total revenue for each level of demand and post
into the table, Figure 1. (Copy and paste this table into the
Microsoft Word document that will form part of your
submission.)
Using the midpoints formula presented in the textbook,
calculate the price elasticity coefficient for each price level,
starting with the coefficient for the $4 to $6 level. For each
coefficient, indicate each type of elasticity: elastic demand,

2. inelastic demand, or unitary demand. Post your answers into the
table, Figure 1.
Assume that the income of consumers changes by 10%, and as a
result the quantity demanded for Good A changes by 8%. What
is the income elasticity of demand for Good A? What does this
mean for your company?
Assume that the price of competing Good B decreases by 5%
and as a result, the quantity demand for Good A decreases by
8%. What is the cross-price elasticity for your product? What
type of goods are Good A and Good B?
Figure 1: The Demand Schedule for Barbeque Dinners
Price
Quantity Demanded
Total Revenue
Elasticity Coefficient
Elastic or Inelastic
$4
100
__________
XXXX
XXXX
6
80
__________
__________
__________
8
60
__________
__________
__________
10

3. 40
__________
__________
__________
12
20
__________
__________
__________
14
1
__________
__________
__________
Required:
Prepare an analysis by answering the above-noted questions.
Your analysis will consist of two documents as follows:
Microsoft Word document
: Questions 1-5, 7-10.
Microsoft Excel worksheet:
Question 6