As the Price of a Good Falls from $5 to $3

question 4

Multiple Choice

As the price of a good falls from $5 to $3, the quantity supplied of the good falls from 550 units to 400 units. Price elasticity of supply is

• A)0.95.
• B)1.20.
• C)1.58.
• D)0.63.

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Definitions:

Inches

A unit of length in the British imperial and United States customary systems of measurement, equal to 1/12 of a foot.

Hypotenuse

The longest side of a right-angled triangle, opposite the right angle, calculated as the square root of the sum of the squares of the other two sides.

Right Angle

An angle of 90 degrees.

Opposite Side

In geometry, the opposite side refers to the side facing or diametrically across from a specified point or another side within a geometric figure.