George has been selling 5000 t-shirts per month for 8.50., Ask an Expert

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George has been selling 5,000 T-Shirts per month for $8.50. When he increased the price to $9.00 he sold only 4,000 T-Shirts. What is the demand elasticity? If his marginal cost is $4 per shirt, what is his desired markup and what is his initial actual markup? Was raising the price profitable?

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M9472524

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