Microsoft wants to calculate the effect of a worldwide 5% price cut on its sales of Excel to clients in different countries. Microsoft sells Excel at different prices in U.S., Japan and Europe. Before the price cut U.S
sales were twice sales in Japan and Europe. If the price of elasticity of demand in the U.S., Japan and Europe are -3, -4, and -2 respectively, the worldwide sales rise by A) 10%.
B) 15%.
C) 20%.
D) 25%.
E) none of the above
B
Economics
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Indicate whether the statement is true or false
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Explain why a monopolist does not have a supply curve.
What will be an ideal response?
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