I have some question on elasticity.(adsbygoogle = window.adsbygoogle || []).push({});

If the demand function is q=Cp^(-k), where C and k are positive constants.

a)Find E.

b)if 0<k<1, what does your answer from part a say about how prices should be set to maximize the revenue?

c)if k>1, what does your answer from part a say about how prices should be set to maximize the revenue?

d)if k=1, what does your answer from part a tell you about setting prices to maximize revenue?

e)is this demand function realistic?

part a) my answer is E=k

How do you use part a in answering parts b,c,d,e?

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# Homework Help: Calculus question

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