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The Teenager Company makes and sells skateboards at an average price of $70 each. During the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5.
- Given the price elasticity of -2.5, and the proposed price of $63, what should be the quantity supplied?
- What would total annual revenue be at the proposed price of $63?
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Given the following Utility function: U=(2X1X2+3X1^2)^3 x2 1. Find the marginal utility for x1 and x2. Do not simplify the function. work it in form given 2. Show mathematically whether the marginal utility for x1 and x2 is increasing or decreasing 3..
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Federal Reserve lowers the required reserve ratio from 0.10 to 0.05. How does this affect the simple money multiplier.
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