Exhibit 5-7 -Between Points B and C in Exhibit 5-7, Price Decreases

Multiple Choice

Exhibit 5-7
-Between points b and c in Exhibit 5-7, price decreases by $1, quantity demanded increases by 10,

A) total revenue decreases by $1, and demand is elastic
B) total revenue decreases by $1, and demand is inelastic
C) total revenue increases by $40, and demand is elastic
D) total revenue increases by $40, and demand is inelastic
E) and total revenue increases by $80