Question 1, 3.7.1
Part 4 of 4
For the demand function $q = D(p) = 496 - p$, find the following.
a) The elasticity
b) The elasticity at $p = 85$, stating whether the demand is elastic, inelastic or has unit elasticity
c) The value(s) of $p$ for which total revenue is a maximum (assume that $p$ is in dollars)
$E(p) = \frac{496 - p}{496 - p}$
b) Find the elasticity at the given price, stating whether the demand is elastic, inelastic or has unit elasticity
$E(85) = \frac{85}{411}$ (Simplify your answer. Type an integer or a fraction.)
Is the demand elastic, inelastic, or does it have unit elasticity?
elastic
unit elasticity
inelastic
c) Find the value(s) of $p$ for which total revenue is a maximum (assume that $p$ is in dollars).
$248.00
(Round to the nearest cent. Use a comma to separate answers as needed.)