Nile.com, the online bookseller, wants to increase its total revenue. One strategy is to offer a 10% discount on every book it sells. Nile.com knows that its customers can be divided into two distinct...


Nile.com, the online bookseller, wants to increase its total revenue. One strategy is to offer a 10% discount on every book it sells. Nile.com knows that its customers can be divided into two distinct groups according to their likely responses to the discount. The accompanying table shows how the two groups respond to the discount.




Group A
Group B



(sales per week)
(sales per week)



Volume of sales before


the 10% discount  1.55 million 1.50 million



Volume of sales after


the 10% discount 1.65 million 1.70 million


Explain how the discount will affect total revenue from each group.



Jun 09, 2022
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