Note: Show the computation to get the Price Elasticity of each product and determine if it is elastic or inelastic.

Product Quantity Demanded Price Shoes 600 Php 150 370 Php 290 Gloves 520 Php 39 900 Php 15 Laptop 120 Php 41,000 310 Php 15,000The answer to this problem is to use the arc elasticity of demand formula which is ... change in quantity demanded sum of quantities/2 divided by change in price sum of prices/2Price elasticity equals the percentage in c:|uant its; demanded divided by the percent change in price (using the arc formula) Mathematically, we invert the denominator and multiply, the 2's cancel one another out, so formula becomes: Quantity Price Bread 200 20 240 18 Cookies 400 40 240 70 What is the Price Elasticity of Demand for bread ? 40/220 : 2/19 = 40/220 * 19/2= 760/ 440 760/440 = 1.7 the price is elastic because the 1.7 is greater than one.Quantity Price Bread 200 20 240 18 Cookies 400 40 240 70 What is the Price Elasticity of Demand for cookies? 120/340 : 30/55= 120/340 *55/30= 6,600/10,200 6,600/ 10,200 = 0.64 the price is inelastic because the .64 is less than one