Total Revenue Calculator

Calculate Total Revenue and apply the Total Revenue Test to determine whether demand is elastic or inelastic.

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How to Use Total Revenue & Elasticity Test Calculator

  1. Enter Unit Selling Price (P).
  2. Enter Quantity of units sold (Q).
  3. View Total Revenue and evaluate pricing sensitivity.

Revenue Maximization

Total Revenue is maximized at the point where Price Elasticity of Demand is exactly Unitary (|PED| = 1) and Marginal Revenue = 0.

Frequently Asked Questions

What is the Total Revenue Test?
If price and revenue move in opposite directions, demand is elastic. If price and revenue move in the same direction, demand is inelastic.