Estimate cost elasticity of demand for education

Assignment Help Business Economics

Reference no: EM1367619

Q. XYZ University decides to increase tuition from $9500 to $10500 in order to increase revenue. After increase, enrolment drops from 6000 to 5500.

(i) Estimate cost elasticity of demand for education at this university.

(ii) Is cost elasticity of demand for university tuition elastic or inelastic according to answer in part (i) Why?

(iii) Did tuition revenues at university increase or decrease following tuition change? Elucidate your answer.

Reference no: EM1367619

Questions Cloud

Conclude what factors drive its demand for mba student : Assume MTSU is attempting to conclude what factors drive its demand for MBA student credit hours (dependent variable). Information is available on following independent variables:

Argue that the problem is np complete : Argue that the following prob is NP Complete. Given list of positive integers, u1,u2,...un (in binary representation) and asked if there is partition of this set into 3 subsets, each of which has same sum.

Calculating the forward rate : Corporation A, a low rated company, desires a fixed-rate, long term loan. A currently has access to floating interest rate amount at a margin of 1.5 percent over LIBOR.

Compute the shortest path : Use Dijkstra's shortest-path algorithm to compute the shortest path from x to all network nodes - computes their Distance Vector for network

Estimate cost elasticity of demand for education : Estimate cost elasticity of demand for education at this university. Is cost elasticity of demand for university tuition elastic or inelastic according to answer in part (i) Why.

How much time is necessary for a particle of string : A Carnot engine performs work at the rate of 380 kW when using 730 kcal of heat per second. If the temperature of the heat source is 560 C, at what temperature is the waste heat exhausted.

Which airline has lower costs : If Fly Right were to go out of business, it would be able to rent its plane to another airline for $30,000. Which airline has lower costs.

Where on the y axis is total electric field zero : A model rocket rises with constant acceleration to the height of 3.7, at which point its speed is 25. what was the magnitude of the rocket's acceleration.

Write a program that display amount of discount on item : Write a program that asks the user to enter number of packages purchased. Program must then display amount of the discount (if any) and total amount of the purchase after the discount.

User Account

All Pages