The price elasticity of demand of the pen will be -0.2.
<h3>How to compute the elasticity?</h3>
The demand and supply schedule will be:
Price Qd. Qs
$10. 250. 100
$20. 200. 90
$30. 180. 80
The price elasticity of demand from $1 to $2 will be:
= Percentage change in quantity demanded/percentage change in price
Percentage change in quantity demanded will be:
= (200 - 250)/250 × 100
= -20%
Percentage change in price will be:
= (20 - 10)/10 × 100
= 100%
Therefore, the elasticity of demand will be:
= -20/100
= - 0.2
The value gotten illustrates an inelastic demand.
In order to increase the total revenue, the price can be reduced as it will lead to more sales.
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<u>Complete question:</u>
Choose any product or service. Create the demand and supply schedule.
Calculate just one PED.
Is the demand elastic or inelastic?
What price change would you recommend to increase TR?
Answer:
a) The cost of buying this car is of £6200.
b) The monthly payment is of £450.
Step-by-step explanation:
The cost of buying a car is given by:
cost = 12 X monthly payment + deposit
a) Find the cost of a car when the monthly payment is £350 and the deposit is £2000.
So
cost = 12*350 + 2000 = 4200 + 2000 = 6200
The cost of buying this car is of £6200.
b) The cost of another car is £8000. Find the monthly payment when the deposit is £2600.
Again, the formula is applied. So
cost = 12 X monthly payment + deposit
8000 = 12x + 2600
12x = 5400
x = 5400/12
x = 450
The monthly payment is of £450.
Answer:
Step-by-step explanation:
the difference is 56 because if you add and divide them by 3 and -2 you will get 56
Answer:
a is option c
b is 17.5
c is 9
Step-by-step explanation:
I do not know if all of these are right
Answer:
13 1/2
Step-by-step explanation:
this is surely the answer. 13.5
