-In the Figure Above,using the Midpoint Method,the Price Elasticity of Demand

question 8

Multiple Choice

-In the figure above,using the midpoint method,the price elasticity of demand when the price falls from $7 to $6 is equal to

• A) 2.50.
• B) 1.63.
• C) 0.40.
• D) 0.62.
• E) 1.00.

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Definitions:

Ratio Scale

A quantitative scale of measurement that includes a defined zero point, equal intervals, and the ability to express quantities as multiples of one another.

A Process

A sequence of measures or procedures followed to attain a specific goal.

Population

In statistics, a population refers to the entire group of individuals or instances about whom we wish to draw conclusions.

MAX(range)

It is a function used in mathematics and programming to find the largest number in a given set or range of values.