Question - The graph below shows the weekly demand for bathing suits at a resort town in North Carolina.
a. At a price of $60 per bathing suit, what is the quantity demanded of bathing suits?
b. At a price of $55 per bathing suit, what is the quantity demanded of bathing suits?
c. A decrease in price from $60 to $55 per bathing suit represents a(n) ______ decrease in price.
A)8.33%
B)9.11%
C)11%
D)5%
d. A decrease in price from $60 to $55 per bathing suit causes a ______ increase in quantity demanded.
A)33.33%
B)30%
C)25%
D)40%
e. Using the starting point method, at a price of $60 the price elasticity of demand for bathing suits is:
A) -1/4.
B) -3.
C) -4.
D) -5.