Acme Specialty Products has determined that the demand function for their self-timing egg poachers is given by: (p)=240-57p2
a. Find (p), the Elasticity of Demand as a function of price, p.(p)=
b. Find the Elasticity of Demand when self-timing egg poachers are selling at a price of $12.
Give result accurate to at least3 decimal places.(12)=
c. At this price ( $12 ):
We would say the demand for self-timing egg poachers is:
Based on this, in order to increase revenue we should:
d. Use the Elasticity model to determine the price that maximizes revenue. (
Round result to 2 decimal places.)p=
