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 20%, the quantity demanded rises by 12%. Find the price elasticity of demand E.

%ΔP = −20%%ΔQ = +12%
E =
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product falls by 25%, the quantity demanded rises by 62.5%. Find the price elasticity of demand E.

%ΔP = −25%%ΔQ = +62.5%
E =
3.Medium
QPD100€5.00110€4.50

When the price of a ticket changes from €5.00 to €4.50, weekly sales change from 100 to 110. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €5.00P2 = €4.50Q1 = 100Q2 = 110
E =
4.Medium
QPD500€8.00380€9.00

When the price of a ticket changes from €8.00 to €9.00, weekly sales change from 500 to 380. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €8.00P2 = €9.00Q1 = 500Q2 = 380
E =
5.Hard
QPD10 000€10Q = ?€13.00

Demand for a product has a constant price elasticity of −3, so Q = A·P^−3. At a price of €10, 10 000 units are sold. How many units Q are sold at a price of €13.00?

E = −3P1 = €10Q1 = 10 000P2 = €13.00
Q = units
6.Hard
QPDQ€23

The demand for a product is Q = 240 − 8P, with P in euros. Find the price elasticity of demand E at a price of €23.

Q = 240 − 8PP = €23
E =

Answer key

  1. 1. E = −0.6
  2. 2. E = −2.5
  3. 3. E = −0.9048
  4. 4. E = −2.318
  5. 5. Q = 4552 units
  6. 6. E = −3.286

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