When a Firm Raises the Price of Its Product,what Happens

question 208

Multiple Choice

When a firm raises the price of its product,what happens to its total revenue?

• A) If demand is elastic, total revenue decreases.
• B) If demand is unit elastic, total revenue increases.
• C) If demand is inelastic, total revenue decreases.
• D) If demand is elastic, total revenue increases.
• E) If demand is unit elastic, total revenue decreases.