Samir's curtain company is making curtains for a local hotel. He wants each curtain to be 36 inches long. At the fabric store, f
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Answer:
1.
2.
Step-by-step explanation:
The given demand equation is
where p is the price (in dollars) per quarter-chicken serving and q is the number of quarter-chicken servings that can be sold per hour at this price.
Part 1 :
We need to Express q as a function of p.
The given equation can be rewritten as
Using the properties of exponent, we get
Therefore, the required equation is .
Part 2 :
Differentiate q with respect to p.
Formula for price elasticity of demand is
Cancel out common factors.
Using the properties of exponents we get
Therefore, the price elasticity of demand is -2/3.