Optimal price. last month ricks bike shop inc. increased, Ask an Expert

Economics

Point price elasticity of demand, Optimal price

Optimal Price. Last month, Rick's Bike Shop, Inc. increased the price on the 24 ounce can of bearing grease by 1%. In response, sales dropped by 4%.

A. find out the point price elasticity of demand for bearing grease.

B. find out the optimal price for bearing grease if marginal cost is $4.50 per unit.

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Business Economics, Economics

Category:- Business Economics
Reference No.:- M925680

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