Price elasticity of demand worksheet with answers

Free printable Price elasticity of demand worksheet: 6 problems from easy to exam level, with an answer key. Print it or save it as a PDF.

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1.Easy
ticket price+15%tickets per week?1 200 → QE = −2.5

A cinema sells 1 200 tickets per week. The price elasticity of demand is −2.5. If the ticket price rises by 15%, how many tickets Q will it sell per week?

Q1 = 1 200E = −2.5%ΔP = +15%
Q = tickets
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product falls by 12%, the quantity demanded rises by 24%. Find the price elasticity of demand E.

%ΔP = −12%%ΔQ = +24%
E =
3.Medium
QPD800€40.00860€38.00

When the price of a ticket changes from €40.00 to €38.00, weekly sales change from 800 to 860. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €40.00P2 = €38.00Q1 = 800Q2 = 860
E =
4.Medium
QPD800€4.00880€3.50

When the price of a ticket changes from €4.00 to €3.50, weekly sales change from 800 to 880. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €4.00P2 = €3.50Q1 = 800Q2 = 880
E =
5.Hard
QPDQP = ?

The demand for a product is Q = 4000 − 50P, with P in euros. At which price P is total revenue as large as possible?

Q = 4000 − 50P
P = €
6.Hard
QPD5 000€8Q = ?€5.60

Demand for a product has a constant price elasticity of −2, so Q = A·P^−2. At a price of €8, 5 000 units are sold. How many units Q are sold at a price of €5.60?

E = −2P1 = €8Q1 = 5 000P2 = €5.60
Q = units

Answer key

  1. 1. Q = 750 tickets
  2. 2. E = −2
  3. 3. E = −1.41
  4. 4. E = −0.7143
  5. 5. P = 40 €
  6. 6. Q = 10204 units

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