Multiple Choice
If a Krispy Kreme doughnut shop near campus increases its prices by 5 percent, but revenues from its sales are unchanged, the price elasticity of demand for the services offered by the doughnut shop must be
A) elastic.
B) of unitary elasticity.
C) inelastic.
D) equal to 0.5.
Correct Answer:
Verified
Correct Answer:
Verified
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