Suppose a college decide to raise the tuition fee from Rs.3, 000 per month to Rs.4, 000 of MBA level students. The number of students getting admission is 500. The price elasticity of demand for the...

Suppose a college decide to raise the tuition fee from Rs.3, 000 per month to Rs.4, 000 of MBA level students. The number of students getting admission is 500. The price elasticity of demand for the students is 0.2.

a)Find out the number of students getting admission after increase in tuition fee.

b)Find out the total revenue before and after the increase in tuition fee.

c)Explain whether the increase in tuition fee is wise decision or not on the basis of total revenue.