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 15%, the quantity demanded rises by 30%. Find the price elasticity of demand E.

%ΔP = −15%%ΔQ = +30%
E =
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product falls by 8%, the quantity demanded rises by 4.8%. Find the price elasticity of demand E.

%ΔP = −8%%ΔQ = +4.8%
E =
3.Medium
QPD200€4.00450€1.50

When the price of a ticket changes from €4.00 to €1.50, weekly sales change from 200 to 450. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €4.00P2 = €1.50Q1 = 200Q2 = 450
E =
4.Medium
QPD4 000€8Q2​P2​ (+5%)ΔR = ?

A product sells 4 000 units per month at €8. Its price elasticity of demand is −0.3. The firm changes the price by +5%. Assuming %ΔQ = E·%ΔP, by how much ΔR does monthly revenue change?

P1 = €8Q1 = 4 000E = −0.3%ΔP = +5%
ΔR = €
5.Hard
QPDQ€32

The demand for a product is Q = 400 − 5P, with P in euros. Find the price elasticity of demand E at a price of €32.

Q = 400 − 5PP = €32
E =
6.Hard
QPDQ€9

The demand for a product is Q = 1500 − 50P, with P in euros. Find the price elasticity of demand E at a price of €9.

Q = 1500 − 50PP = €9
E =

Answer key

  1. 1. E = −2
  2. 2. E = −0.6
  3. 3. E = −0.8462
  4. 4. ΔR = 1096 €
  5. 5. E = −0.6667
  6. 6. E = −0.4286

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