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What is the price elasticity of deman for this service

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1. If hot dogs cost $3 and my marginal utility is 50 and hamburgers cost $4 and my marginal utility is 60, shoul I buy more hot dogs or hamburgers?

2. If the local car wash changes its price for a supreme wash from $13 to $16 and the number of customers change per day from 50 to 40, what is the price elasticity of deman for this service? Is the demand for this service relatively elastic or relativley inelastic? based on this change in price, will total revenue increase or decreas?

Reference no: EM13182666

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