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
QPDQ1​P1​Q2​P2​

When the price of a product falls by 5%, the quantity demanded rises by 1%. Find the price elasticity of demand E.

%ΔP = −5%%ΔQ = +1%
E =
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product rises by 12%, the quantity demanded falls by 7.2%. Find the price elasticity of demand E.

%ΔP = +12%%ΔQ = −7.2%
E =
3.Medium
QPD800€8.00900€7.50

When the price of a ticket changes from €8.00 to €7.50, weekly sales change from 800 to 900. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €8.00P2 = €7.50Q1 = 800Q2 = 900
E =
4.Medium
QPD1 000€4Q2​P2​ (+15%)ΔR = ?

A product sells 1 000 units per month at €4. Its price elasticity of demand is −0.4. The firm changes the price by +15%. Assuming %ΔQ = E·%ΔP, by how much ΔR does monthly revenue change?

P1 = €4Q1 = 1 000E = −0.4%ΔP = +15%
ΔR = €
5.Hard
QPDQ€28

The demand for a product is Q = 400 − 10P, with P in euros. Find the price elasticity of demand E at a price of €28.

Q = 400 − 10PP = €28
E =
6.Hard
QPD800€10.00

The (inverse) demand for a product is P = 50 − 0.05Q, with P in euros. Find the price elasticity of demand E when 800 units are sold.

P = 50 − 0.05QQ = 800
E =

Answer key

  1. 1. E = −0.2
  2. 2. E = −0.6
  3. 3. E = −1.824
  4. 4. ΔR = 324 €
  5. 5. E = −2.333
  6. 6. E = −0.25

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