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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Name: ____________________   Date: ____________

1.Easy
ticket price−12%tickets per week?2 000 → QE = −0.5

A cinema sells 2 000 tickets per week. The price elasticity of demand is −0.5. If the ticket price is cut by 12%, how many tickets Q will it sell per week?

Q1 = 2 000E = −0.5%ΔP = −12%
Q = tickets
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product rises by 25%, the quantity demanded falls by 5%. Find the price elasticity of demand E.

%ΔP = +25%%ΔQ = −5%
E =
3.Medium
QPD400€40.00350€46.00

When the price of a ticket changes from €40.00 to €46.00, weekly sales change from 400 to 350. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €40.00P2 = €46.00Q1 = 400Q2 = 350
E =
4.Medium
QPD800€40.00960€36.00

When the price of a ticket changes from €40.00 to €36.00, weekly sales change from 800 to 960. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €40.00P2 = €36.00Q1 = 800Q2 = 960
E =
5.Hard
QPDQ€24

The demand for a product is Q = 4000 − 50P, with P in euros. Find the price elasticity of demand E at a price of €24.

Q = 4000 − 50PP = €24
E =
6.Hard
QPDQP = ?

The demand for a product is Q = 1000 − 20P, with P in euros. At which price P is total revenue as large as possible?

Q = 1000 − 20P
P = €

Answer key

  1. 1. Q = 2120 tickets
  2. 2. E = −0.2
  3. 3. E = −0.9556
  4. 4. E = −1.727
  5. 5. E = −0.4286
  6. 6. P = 25 €

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