The Teenager Company makes and sells skateboards at an average price of $70 each. During the past year, they sold 4,000 of these skateboards. The company believes that the price elasticity for this product is about -2.5.
- Given the price elasticity of -2.5, and the proposed price of $63, what should be the quantity supplied?
- What would total annual revenue be at the proposed price of $63?