Problem
A firm manufactures a product that it sells for $100. It sells 1000 units per week. What is its total revenue? It costs the firm $80 to produce a unit. With the given sales volume, what profit, if any, is the firm making? The firm's manager knows that the demand for the product is highly elastic. Given that, would he make more profit if he reduces the price? Why? Be sure to think this question through.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.