Assume the Demand Function for SeatComfy's Table Chairs Is Q

question 22

Multiple Choice

Assume the demand function for SeatComfy's table chairs is Q = 5,000 - 25P + 4I +10P_A - 15P_T.Moreover,assume that currently P = 10,P_A = 15,I = 500,P_T = 100.Which of the following is true?

• A)If SeatComfy increases its price by 1 percent,sales as well as total revenues will increase.
• B)If SeatComfy decreases its price by 1 percent,sales will increase,while total revenues will decrease.
• C)If SeatComfy increases its price by 1 percent,sales will decrease,while total revenues will increase.
• D)If SeatComfy increases its price by 1 percent,sales as well as total revenues will decrease.

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Definitions:

Creativity

The capability to produce or identify concepts, options, or opportunities that can aid in resolving issues, engaging in communication with people, and providing amusement to both ourselves and others.

Low Tolerance

A reduced capacity or willingness to accept deviations from a standard or to endure difficult conditions or treatment.

Internal Locus

This concept describes individuals who believe they have control over their life events and outcomes, as opposed to being controlled by external factors.