Consumer Demand Analysis and Estimation Applied Problems, assignment help

he demand function for Newtons Donuts has been estimated as follows:Qx = -14  54Px 45Py 0.62Axwhere Qx represents thousands of donuts; Px is the price per donut; Py is the average price per donut of other brands of donuts; and Ax represents thousands of dollars spent on advertising Newtons Donuts. The current values of the independent variables are Ax=120, Px=0.95, and Py=0.64.Show all of your calculations and processes. Describe your answer for each question in complete sentences, whenever it is necessary. Calculate the price elasticity of demand for Newtons Donuts and describe what it means. Describe your answer and show your calculations. Derive an expression for the inverse demand curve for Newtons Donuts. Describe your answer and show your calculations. If the cost of producing Newtons Donuts is constant at $0.15 per donut, should they reduce the price and thereafter, sell more donuts (assuming profit maximization is the companys goal)? Should Newtons Donuts spend more on advertising?