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 15%, the quantity demanded falls by 18%. Find the price elasticity of demand E.

%ΔP = +15%%ΔQ = −18%
E =
2.Easy
QPDQ1​P1​Q2​P2​

When the price of a product falls by 4%, the quantity demanded rises by 10%. Find the price elasticity of demand E.

%ΔP = −4%%ΔQ = +10%
E =
3.Medium
QPD400€20.00160€30.00

When the price of a ticket changes from €20.00 to €30.00, weekly sales change from 400 to 160. Use the midpoint (arc) method to find the price elasticity of demand E.

P1 = €20.00P2 = €30.00Q1 = 400Q2 = 160
E =
4.Medium
QPD2 500€5Q2​P2​ (−10%)ΔR = ?

A product sells 2 500 units per month at €5. Its price elasticity of demand is −0.4. The firm changes the price by −10%. Assuming %ΔQ = E·%ΔP, by how much ΔR does monthly revenue change?

P1 = €5Q1 = 2 500E = −0.4%ΔP = −10%
ΔR = €
5.Hard
QPDQP = ?

The demand for a product is Q = 500 − 25P, with P in euros. At which price P is total revenue as large as possible?

Q = 500 − 25P
P = €
6.Hard
QPDQ€48

The demand for a product is Q = 600 − 10P, with P in euros. Find the price elasticity of demand E at a price of €48.

Q = 600 − 10PP = €48
E =

Answer key

  1. 1. E = −1.2
  2. 2. E = −2.5
  3. 3. E = −2.143
  4. 4. ΔR = −800 €
  5. 5. P = 10 €
  6. 6. E = −4

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