Answer:
Refer the attachment for the answer
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Answer: The value of cross price elasticity is 1.6.
Step-by-step explanation:
Since we have given that
Percent change in price = 10%
Percent change in quantity = 16%
So, we need to find the cross price elasticity between the two movie club memberships.
As we know the formula for cross price elasticity :

Hence, the value of cross price elasticity is 1.6.
Hello!
I would say the second option, because it looks like the most reasonable one. The third and fourth options decrease, but we can see by the chart that in fact, the weight increases. Also, it wouldn't be the first option, because its showing that the wight is always constant and rate doesn't change. However, we can see that this is wrong and the rate actually does change. Therefore, the second option looks like the most reasonable for this chart.
Hope this helps!