The management of a fruit juice pro- duction company was directed by the shareholders to increase the revenue from the sale of its product. The management decided to increase the price of the fruit juice from $7 to $$ 10 per unit and this led to a fall in quantity demanded from 150 units to 30 units.

Use the information above to answer the questions that follow.  
(a) Calculate the;  
(i) Percentage increase in the price; (ii) percentage decrease in the quantity demanded  
(iii)coefficient of price elasticity of demand for the fruit juice.  
(b) Is the demand for the fruit, price elastic or inelastic? Give a reason for your  
answer.  
(c) Did the management of the company achieve its objective of increasing revenue? Explain your answer.  
(d) From your answers in 2a(iii), was the increase in the price of the fruit juice a rational strategy to employ in order to increase revenue? Explain your answer.