Question
The demand curve for portable Bluetooth speakers is given by: QD = 500 - 1/2 P. a. Calculate the (point) price elasticity of demand for
The demand curve for portable Bluetooth speakers is given by: QD = 500 - 1/2 P.
a. Calculate the (point) price elasticity of demand for Bluetooth speakers when price is
$100. Is demand elastic or inelastic?
b. Calculate the (point) price elasticity of demand for Bluetooth speakers when price is
$700. Is demand elastic or inelastic?
c. Find the point (i.e. the price) at which (point) price elasticity of demand is equal to -1.
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Cases in Finance
Authors: Jim DeMello
3rd edition
1259330476, 1259330478, 9781259352652 , 978-1259330476
