When Demand Is Elastic,the Marginal Revenue Resulting from a Decrease

question 8

Multiple Choice

When demand is elastic,the marginal revenue resulting from a decrease in price is:

• A)positive.
• B)zero.
• C)negative.
• D)cannot be determined without more information.

---

Definitions:

Three Decimal Places

A numerical representation accurate to the third digit to the right of the decimal point.

\(10,000(1.01)^{3t}\)

An exponential function representing the growth of an initial quantity where 10,000 is the initial value, 1.01 is the growth factor, and \(3t\) denotes the rate and time variable.

\(1.7^{-x}\)

An expression denoting an inverse exponential function where the base is 1.7 and the exponent is -x.

Three Decimal Places

A numerical expression rounded or precise to three digits to the right of the decimal point.