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 4%, the quantity demanded rises by 6%. Find the price elasticity of demand E.

%ΔP = −4%%ΔQ = +6%
E =
2.Easy
price+5%quantity demanded?%ΔQE = −0.4

The price elasticity of demand for a product is −0.4. The price is raised by 5%. By what percentage %ΔQ does the quantity demanded change?

E = −0.4%ΔP = +5%
%ΔQ = %
3.Medium
QPD100€40.00130€34.00

When the price of a ticket changes from €40.00 to €34.00, weekly sales change from 100 to 130. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €40.00P2 = €34.00Q1 = 100Q2 = 130
E =
4.Medium
QPD1200€15.001010€19.00

When the price of a ticket changes from €15.00 to €19.00, weekly sales change from 1200 to 1010. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €15.00P2 = €19.00Q1 = 1200Q2 = 1010
E =
5.Hard
QPDQP = ?

The demand for a product is Q = 1250 − 25P, with P in euros. At which price P is total revenue as large as possible?

Q = 1250 − 25P
P = €
6.Hard
QPDQ€8

The demand for a product is Q = 80 − 4P, with P in euros. Find the price elasticity of demand E at a price of €8.

Q = 80 − 4PP = €8
E =

Answer key

  1. 1. E = −1.5
  2. 2. %ΔQ = −2 %
  3. 3. E = −1.609
  4. 4. E = −0.7308
  5. 5. P = 25 €
  6. 6. E = −0.6667

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