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 rises by 10%, the quantity demanded falls by 20%. Find the price elasticity of demand E.

%ΔP = +10%%ΔQ = −20%
E =
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
QPD1000€2.002200€0.50

When the price of a ticket changes from €2.00 to €0.50, weekly sales change from 1000 to 2200. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €2.00P2 = €0.50Q1 = 1000Q2 = 2200
E =
4.Medium
QPD800€25.00540€35.00

When the price of a ticket changes from €25.00 to €35.00, weekly sales change from 800 to 540. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €25.00P2 = €35.00Q1 = 800Q2 = 540
E =
5.Hard
QPD1 000€12Q = ?€8.40

Demand for a product has a constant price elasticity of −1.5, so Q = A·P^−1.5. At a price of €12, 1 000 units are sold. How many units Q are sold at a price of €8.40?

E = −1.5P1 = €12Q1 = 1 000P2 = €8.40
Q = units
6.Hard
QPD10 000€20Q = ?€15.00

Demand for a product has a constant price elasticity of −0.5, so Q = A·P^−0.5. At a price of €20, 10 000 units are sold. How many units Q are sold at a price of €15.00?

E = −0.5P1 = €20Q1 = 10 000P2 = €15.00
Q = units

Answer key

  1. 1. E = −2
  2. 2. E = −2
  3. 3. E = −0.625
  4. 4. E = −1.164
  5. 5. Q = 1707 units
  6. 6. Q = 11547 units

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