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    Calculating total revenue and price elasticity of demand

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    Table. Price Elasticity of Demand and Revenue

    Fine 0 10 20 30 40 50
    Number of Tickets 0 8 7 6 4 2
    Total Revenue

    a.Plot the demand curve i.e., Qd = F (p)
    b.Use the data in Table IV to find the total revenue for each fine.
    SHOW the formula for total revenue.
    c.Draw a graph of the relationship between Fines and Revenues [R = f(F)].
    d.What does the graph show about the inelastic and elastic portions of the demand curve for tickets.
    e.How is the graph in part (c) above as an example of a Laffer Curve.

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    https://brainmass.com/economics/elasticity/calculating-total-revenue-and-price-elasticity-of-demand-283924

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    Please refer attached file for complete solution. Graphs and formulas typed with the help of equation writer are missing here.

    Solution:

    a. Plot the demand curve i.e., Qd = F (p)

    Fine 0 10 20 30 40 50
    Number of Tickets 0 8 7 6 4 2

    b.Use the data in Table IV to ...

    Solution Summary

    Solution describes the steps to find out total revenue and price elasticity of demand.

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