Answer:
B. a small percentage decrease in price produces a larger percentage increase in quantity demanded and total revenue increases.
Explanation:
Elasticity of demand measures the responsiveness of quantity demanded to changes in price.
Elasticity of demand = percentage change in quantity demanded / percentage change in price
Demand is elastic if a small percentage decrease in price produces a larger percentage increase in quantity demanded . Total revenue would increase because the percentage increase in Quanitity demanded exceeds the percentage decrease in price.
If demand is elastic, a small percentage increase in price produces a larger percentage decrease in quantity demanded and total revenue increases.
Here, total revenue falls because percentage decrease in price exceeds the percentage increase in price.
Demand is inelastic if a small percentage decrease in price produces a smaller percentage increasein quantity demanded.
Demand is perfectly inelastic if the quantity demanded remains the same regardless of level of price.
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Competitors and supply chain is an element of economic forces.
<h3>What are economic forces?</h3>
Economic forces are those factors that assist a firm in terms of its competitiveness in the environment it operates.
Here, economic forces have a direct impact on business and are essential factors that can help an organization in accomplishing its targets.
Learn more about economic forces here: brainly.com/question/13721949
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The law of increasing opportunity costs is reflected in a production possibilities curve that is concave to the origin.
<span>A customer touch point for abacus airlines would be an item such as reservation desk.
A customer touch point is a point in the process where a consumer and the organization exchange information, finish providing the service, or handle transactions. At the reservation desk, the customer and the business are focusing on the business and service transactions. </span>