Please provide accurate and correct answers to both questions without explanation. Thank you for your assistance. Suppose that friend A suggests the price increase to increase the total revenue and on the otherhand, friend B suggests decreasing the price in order to increase the total revenue. Determine ifthe suggestions given by friend A and friend are correct or not.YOPricePP₁DQQ₁Quantity Demandeda. Both friend A and friend B are correct.b. Both friend A and friend B are incorrect.c. Friend A is correct, and Friend B is incorrect.d. Friend A is incorrect, and Friend B is correct. What does this price line represent?Price ($)10090807060504030201000Market for Concert Tickets010 2030 40 5060Quantity (books)a. Binding price floorb. Non-binding price floorc. Binding price ceilingd. Non-binding price ceiling70D80S90 100

Total revenue refers to the total amount of money that a firm or business generate from selling its…

Suppose that friend A suggests the price increase to increase the total revenue and on the other hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if the suggestions given by friend A and friend are correct or not. YAO D

Suppose that friend A suggests the price increase to increase the total revenue and on the other hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if the suggestions given by friend A and friend are correct or not. YAO D

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Elastic And Its Application

Section: Chapter Questions

Problem 7PA: Maria has decided always to spend one third of her income on clothing. a. What is her income...

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Question

100%

Please provide accurate and correct answers to both questions without explanation. Thank you for your assistance.

Suppose that friend A suggests the price increase to increase the total revenue and on the other
hand, friend B suggests decreasing the price in order to increase the total revenue. Determine if
the suggestions given by friend A and friend are correct or not.
YO
Price
P
P₁
D
Q
Q₁
Quantity Demanded
a. Both friend A and friend B are correct.
b. Both friend A and friend B are incorrect.
c. Friend A is correct, and Friend B is incorrect.
d. Friend A is incorrect, and Friend B is correct.

What does this price line represent?
Price ($)
100
90
80
70
60
50
40
30
20
10
0
0
Market for Concert Tickets
0
10 20
30 40 50
60
Quantity (books)
a. Binding price floor
b. Non-binding price floor
c. Binding price ceiling
d. Non-binding price ceiling
70
D
80
S
90 100

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