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kolbaska11 [484]
3 years ago
10

Suppose that your demand schedule for dvds is as follows: price quantity demanded (income = $10,000) quantity demanded (income =

$12,000) $8 40 dvds 50 dvds 10 32 45 12 24 30 14 16 20 16 8 12
a. use the midpoint method to calculate your price elasticity of demand as the price of dvds increases from $8 to $10 if (i) your income is $10,000 and (ii) your income is $12,000.
b. calculate your income elasticity of demand as your income increases from $10,000 to $12,000 if (i) the price is $12 and (ii) the price is $16.
Business
1 answer:
Dovator [93]3 years ago
4 0
12,000.+ 10,000 = 13,000 price is $12 and (ii) the price is $16.
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