Question
Suppose you are given the following data on demand for a product. Price 10, 9, 8, 7, 6 Quantity Demanded 30, 40, 50, 60, 70
Suppose you are given the following data on demand for a product.
Price 10, 9, 8, 7, 6
Quantity Demanded 30, 40, 50, 60, 70
a)
Calculate the value of price elasticit
y of demand at
the
price equal to $8
?
b)
Is the demand elastic or in
elastic at the price equal to $8
? ANSWER: _____
____________
___
c)
Interpret the value of price elasticity of demand calculated in part (a)?
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E-Commerce 2013 Business Technology Society
Authors: Ken Laudon, Kenneth C Laudon
9th Edition
0132730359, 978-0132730358
