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lidiya [134]
3 years ago
15

a. Using the starting point formula, what is the price elasticity of demand for going from a price of $160 per unit to a price o

f $140 per unit
Business
1 answer:
ki77a [65]3 years ago
8 0

Answer:

Price Elasticity of Demand is -4

Explanation:

We can see the graph and easily calculate the Q1 which is 120 units at P1 $140 and Q2 which is 80 units at P2 $160 price.

The starting point formula for calculating price elasticity of demand is given as under:

Price Elasticity of Demand = (ΔQ / Q2)  /  (ΔP / P2)

Here

ΔQ = Q1 - Q2 = 120 - 80 = 40 units

ΔP = P1  -  P2 = 140 - 160 =   - $20

By putting value in the above equation, we have:

Price Elasticity of Demand = (40 Units / 80 Units)  /  (-$20 / $160)

Price Elasticity of Demand = -4

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Answer:

Explanation:

There are total 5 batches and two boards are selected from each batch for inspection.

Let the boards are numbered from 1 to 5.

If the selected boards are 1 and 2, then it is represented in pair as (1, 2).

If the selected boards are 1 and 3, then it is represented in pair as (1, 3).

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P(X=1)={6 \over 10}=0.6P(X=1)=  6/10 =0.6

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b)

x                  0               1                    2

p(x)            0.3           0.6                0.1

​

​μ  X  =0⋅0.3+1⋅0.6+2⋅0.1=0.8

σ  X ² =(0−0.8)²  ⋅0.3+(1−0.8)²  ⋅0.6+(2−0.8)² ⋅0.1=0.36

μₓ=0.8, σX  =0.6

 

​

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