When demand is elastic-marginal revenue

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1. When demand is elastic, marginal revenue will be: a)positive. b)negative. c) zero. d)There is not sufficient information to determine the marginal revenue.

2. If the cross-price elasticity between ketchup and hamburgers is −1.5, a 2 percent decrease in the price of ketchup will lead to a: a)3 percent increase in quantity demanded of ketchup. b)3 percent decrease in quantity demanded of ketchup. c)3 percent increase in quantity demanded of hamburgers. d) 3 percent decrease in quantity demanded of hamburgers.

Reference no: EM131169291

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