Final answer:
The demand for good A is likely elastic, as the decrease in price led to a significant enough increase in quantity demanded to raise total revenues.
Step-by-step explanation:
When the price of good A falls and total revenues go up, this implies that the quantity demanded of the good has increased sufficiently to outweigh the effect of the lower price. This situation typically occurs when the demand for the product is elastic, meaning that a small percentage decrease in price results in a larger percentage increase in quantity demanded. Under the law of demand, a fall in price will generally lead to an increase in the quantity demanded, as consumers will purchase more of the good that is now cheaper. This scenario is characteristic of a normal good, a type of good for which the quantity demanded rises as income rises and falls as income falls. However, in this context, the increase in quantity demanded is due to the lower price itself, not a change in consumer income.