When the price of tomatoes rises from 3 por pound to 4 por pound, the quantity of tomatoes sold decreases from 15 pounds to 10 pounds. Total revenue __ and using the total revenue test, we can determine that the demand for tomatoes is __ A. equals quantity sold divided by price; olastic B. docreases from 45 to 40 olastic C. initially is 45 unit olastic D. decreases by 5 inolastic

To determine the total revenue and whether the demand for tomatoes is elastic or inelastic, we need to calculate the initial and new total revenues and then analyze the change in total revenue relative to the change in price.<br /><br />**Initial Total Revenue:**<br />\[ \text{Initial Total Revenue} = \text{Initial Price} \times \text{Initial Quantity} \]<br />\[ \text{Initial Total Revenue} = \$3 \times 15 \]<br />\[ \text{Initial Total Revenue} = \$45 \]<br /><br />**New Total Revenue:**<br />\[ \text{New Total Revenue} = \text{New Price} \times \text{New Quantity} \]<br />\[ \text{New Total Revenue} = \$4 \times 10 \]<br />\[ \text{New Total Revenue} = \$40 \]<br /><br />**Change in Total Revenue:**<br />\[ \text{Change in Total Revenue} = \text{Initial Total Revenue} - \text{New Total Revenue} \]<br />\[ \text{Change in Total Revenue} = \$45 - \$40 \]<br />\[ \text{Change in Total Revenue} = \$5 \]<br /><br />Since the total revenue decreases when the price increases, the demand for tomatoes is **inelastic**. Inelastic demand occurs when the percentage change in quantity demanded is less than the percentage change in price.<br /><br />Therefore, the correct answer is:<br /><br />D. decreases by $\$ 5$ inelastic