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Price elasticity of demand for two customer segments

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Reference no: EM132254413

Kashian Motors has determined that the price elasticity of demand for two customer segments (A Luxury Car's price elasticity of demand is -1.25 while a Premium Car's price elasticity of demand is -1.65. Based on their expectations of profitability, Kashian realizes the price of a Luxury Car should be $71,500. How much should Kashian charge for its Premium Car?

Reference no: EM132254413

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