Put the numbers in order. 1, 2, 5, 6, 7, 9, 12, 15, 18, 19, 27. Step 2: Find the median. 1, 2, 5, 6, 7, 9, 12, 15, 18, 19, 27. Step 3: Place parentheses around the numbers above and below the median. Not necessary statistically, but it makes Q1 and Q3 easier to spot. (1, 2, 5, 6, 7), 9, (12, 15, 18, 19, 27). Step 4: Find Q1 and Q3 Think of Q1 as a median in the lower half of the data and think of Q3 as a median for the upper half of data. (1, 2, 5, 6, 7), 9, ( 12, 15, 18, 19, 27). Q1 = 5 and Q3 = 18. Step 5: Subtract Q1 from Q3 to find the interquartile range. 18 – 5 = 13.
If the coefficient of demand for the SUV is 0.75 this means that it has a relatively inelastic demand since it is less than. In other words, there is only a little alteration in demand when prices change. So when the price of SUV rise by 15%, and it has a coefficient of 0.75, we can anticipate only 11.25% decrease in its demand. This is for the reason that the SUVs do not have many substitutes for it. So to solve: (x/15%) = 0.75 Then simply solve for x: x = (0.75)(0.15) = 11.25%
