The elasticity of demand for a firm's product is 2. If the firm reduces its...
ECONOMICS
JAMB 1997
The elasticity of demand for a firm's product is 2. If the firm reduces its price by 20 percent, its sales revenue will increase by?
- A. 10 per cent
- B. 20 per cent
- C. 30 per cent
- D. 40 per cent
Correct Answer: D. 40 per cent
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