Lorena likes to play golf. The number of times per year that she plays depends

Lorena likes to play golf. The number of times
per year that she plays depends on both the price of playing a round of
golf as well as Lorena s income and the cost of other types of
entertainment in particular how much it costs to go see a movie
instead of playing golf. The three demand schedules in the table
below show how many rounds of golf per year Lorena will demand at each
price under three different scenarios. In scenario D1 Lorena s income
is $50000 per year and movies cost $9 each. In scenario D2 Lorena s
income is also $50000 per year but the price of seeing a movie rises
to $11. And in scenario D3 Lorena s income goes up to $70000 per
year while movies cost $11. Scenario: D1 D2 D3 Income: $50000
$50000 $70000 Movie Price: $9 $11 $11 Golf: Quantity Demanded
Quantity Demanded Quantity Demanded Price = $50 15 10 15 Price = $35
25 15 30 Price = $20 40 20 50 a. Using the data under D1 and D2
calculate the cross elasticity of Lorena s demand for golf at all
three prices. (To do this apply the midpoints approach to the cross
elasticity of demand.) Instructions: Enter only whole number for
your answer. Cross elasticity of Lorena s demand at the price of
$50 = Instructions: Round your answer to two decimal places.
Cross elasticity of Lorena s demand at the price of $35 =
Instructions: Round your answer to two decimal places. Cross
elasticity of Lorena s demand at the price of $20 = Is the cross
elasticity the same at all three prices? Are movies and golf
substitute goods complementary goods or independent goods? b.
Using the data under D2 and D3 calculate the income elasticity of
Lorena s demand for golf at all three prices. (To do this apply the
midpoints approach to the income elasticity of demand.) Instructions:
Round your answer to one decimal place. Income elasticity of Lorena
s demand at the price of $50 = Instructions: Enter only whole
number for your answer. Income elasticity of Lorena s demand at
the price of $35 = Instructions: Round your answer to two decimal
places. Income elasticity of Lorena s demand at the price of $20 =

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