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+4%tickets per week?200 → QE = −1.2

A cinema sells 200 tickets per week. The price elasticity of demand is −1.2. If the ticket price rises by 4%, how many tickets Q will it sell per week?

Q1 = 200E = −1.2%ΔP = +4%
Q = tickets
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product rises by 12%, the quantity demanded falls by 6%. Find the price elasticity of demand E.

%ΔP = +12%%ΔQ = −6%
E =
3.Medium
QPD400€40.00460€36.00

When the price of a ticket changes from €40.00 to €36.00, weekly sales change from 400 to 460. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €40.00P2 = €36.00Q1 = 400Q2 = 460
E =
4.Medium
QPD1000€8.00930€8.50

When the price of a ticket changes from €8.00 to €8.50, weekly sales change from 1000 to 930. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €8.00P2 = €8.50Q1 = 1000Q2 = 930
E =
5.Hard
QPD10 000€5Q = ?€6.50

Demand for a product has a constant price elasticity of −2.5, so Q = A·P^−2.5. At a price of €5, 10 000 units are sold. How many units Q are sold at a price of €6.50?

E = −2.5P1 = €5Q1 = 10 000P2 = €6.50
Q = units
6.Hard
QPDQP = ?

The demand for a product is Q = 4000 − 50P, with P in euros. At which price P is the price elasticity of demand equal to −1.5?

Q = 4000 − 50PE = −1.5
P = €

Answer key

  1. 1. Q = 190.4 tickets
  2. 2. E = −0.5
  3. 3. E = −1.326
  4. 4. E = −1.197
  5. 5. Q = 5190 units
  6. 6. P = 48 €

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