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​The owner of a bakery decides to drop the price of lemon cakes by 5%, how much does quantity sold have to rise to stop the revenue from decreasing
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​The owner of a bakery decides to drop the price of lemon cakes by 5%, how much does quantity sold have to rise to stop the revenue from decreasing

User Marvel
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1 Answer

3 votes

Answer:

5%

Step-by-step explanation:

In the case when the bakery owner decided to decline the lemon cake price by 5% so here the quantity that should be sold should be increase in order to stop the revenue from reducing it by 5% as this is happen because of the price and the elasticity

So as per the given situation, the quantity sold should also be increased by 5%

User Erik Aybar
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3.2k points
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