If a 25% Change in Price Results in a 40

question 77

Multiple Choice

If a 25% change in price results in a 40% change in quantity supplied,then the price elasticity of supply is about

• A)0.63,and supply is elastic.
• B)0.63,and supply is inelastic.
• C)1.60,and supply is elastic.
• D)1.60,and supply is inelastic.

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Definitions:

CAD

Computer-Aided Design, technology used by engineers, architects, and designers to create precision drawings or technical illustrations.

CAM

Computer-Aided Manufacturing, a technology that uses computer software and machinery to automate the manufacturing process, improving efficiency and precision.