What is total revenue? How are total revenue and elasticity related? How do you graph total revenue curves? How do you calculate total revenue?

What is total revenue? Businesses care about elasticity of demand—it helps them figure out their total revenue, and whether demand for a product is elastic or inelastic Total revenue—total amount of a company's sales and other sources of income. –does not include earnings or profits, which take expenses into account. –high total revenue is desirable for any company.

How do you calculate total revenue? It’s simple! # of units sold X price of unit revenue or TR=P x Q Practice 1: Backyard BBQ Co. sold 4,088 grills at a price of $89 each. What was their total revenue? Practice 2: Alex’s Lemonade sold 1,250 glasses of original lemonade at $1.50 a glass. They sold 1,300 glasses of pink lemonade at $1.75 a glass. What was their total revenue?

What does total revenue look like on a graph? The demand schedule can help you make a demand curve, then you point out areas of elasticity. PriceQdTRElasticity

What does total revenue look like on a graph? Multiply the Qd by the price in the demand curve to create a TR graph