Suppose that when a particular firm decreases its price its total revenue decreases. What kind of demand does this particular firm face?
A. Demand is price inelastic.
B. Demand is price elastic.
C. Demand is unit elastic.
D. Demand is perfectly price elastic.
Answer: A
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What will be an ideal response?
Refer to the short-run information provided in Figure 8.5 below to answer the question(s) that follow. 
Figure 8.5 Refer to Figure 8.5. If one drone is produced, average fixed costs are
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