Arrange the following steps in the correct order to analyze the impact of a price decrease on total revenue when a firm operates in the elastic range of its demand curve: A) Evaluate the elasticity of demand at the current price level, B) Implement a price decrease, C) Analyze changes in quantity demanded, D) Assess the effect on total revenue.

To analyze the impact of a price decrease on total revenue when a firm operates in the elastic range of its demand curve, start by evaluating the elasticity of demand at the current price level. This step helps you understand how sensitive consumers are to price changes. Next, after confirming that demand is elastic, you would implement a price decrease. Following this, you should analyze changes in quantity demanded to see how much more of the product consumers buy due to the lower price. Finally, assess the effect on total revenue, which will likely increase because, in an elastic demand situation, a price drop leads to a proportionally larger increase in quantity sold.