If 50 Units Are Sold at a Price of $20

question 245

Multiple Choice

If 50 units are sold at a price of $20 and 80 units are sold at a price of $15, what is the absolute value of the price elasticity of demand? Use the midpoint formula.

• A)0.17
• B)0.62
• C)1.62
• D)5

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Definitions:

Retail Layout

The strategic arrangement of physical elements in a store or commercial space that influences consumer behavior and shopping experience.

Customer Exposure

The extent to which customers encounter or experience a product, brand, or service.

Servicescapes

The physical environment in which service encounters take place, including all elements that influence interactions between customers and service providers.

Ambient Conditions

Ambient conditions refer to the surrounding environmental factors, like temperature, humidity, and air pressure, that can influence a system or process.