Respuesta :
Answer:
Increase in weakly revenue = $9.8
Explanation:
Price (P) = 100, Demand or Sales N (P) = 120.
So revenue R(P) = P x N(P) = 120 x 100 = 120000
Given : 2 sales per week lost for 10 units increase in price.
New price (P') = 110 , New Demand or sales N' (P) = 118
So new revenue R' (P) = P' x N' P = 110 x 118 = 12980
Change in Total revenue due to 10 units price rise = 12980 - 120000 = 980
So, change in total revenue due to one unit price rise = 980/ 10 = 9.8
Increase in weakly revenue = $9.8
Revenue refers to money and it is generated from normal business operations, Also it is calculated as the average sales price times the number of units sold.
Revenue
Price (P) = 100, Demand or Sales[tex]N (P) = 120.[/tex]
So The revenue is [tex]R(P) = P x N(P) = 120 x 100 = 120000[/tex]
Then Given information are: 2 sales per week lost for 10 units increase in price.
Now the New price is[tex](P') = 110[/tex] , New Demand or sales[tex]N' (P) = 118[/tex]
So new revenue[tex]R' (P) = P' x N' P = 110 x 118 = 12980[/tex]
Change in Total revenue due to 10 units price rise =[tex]12980 - 120000 = 980[/tex]
Thus, It is changed in total revenue due to one unit price rise = [tex]980/ 10 = 9.8[/tex]
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