show work please 4. Given a demand function:Q = 100 – 12p – 2p2, find the...

Question

Question

show work please
4. Given a demand function:Q = 100 – 12p – 2p2, find the price elasticity of demand & op at p = 1.

business economics

Answer 1

Answer #1

Demand is Q = 100 - 12P - 2P^2

Derivative dQ/dP = -12 - 4P

Elasticity = dQ/dP * P/Q

When the price P = 1, Qd = 100 - 12*1 - 2*1^2 = 86 units

Hence elasticity of demand ed = (-12 - 4*1)*1/86

= -0.186

This is the value of elasticity of demand

Answer 2

Similar Homework Help Questions

(4 pts.) Given the following demand functions find the elasticity of demand at a price of...

(4 pts.) Given the following demand functions find the elasticity of demand at a price of $9 (give your answer as a fraction and show your work on a separate page): 2. a. Qp 180- 2P2 ED Circle one: Unit elasitic Elastic Inelastic b. Qp 45 6PO.5 ED Circle one: Unit elasitic Elastic Inelastic
Demand is given by Q(p) = 530-2p. What is the price elasticity of demand when p=100?...

Demand is given by Q(p) = 530-2p. What is the price elasticity of demand when p=100? p=200? Please show work
(1) Suppose the demand for laptop computer is given by 0-1000 - 4p1+2p2 where is the...

(1) Suppose the demand for laptop computer is given by 0-1000 - 4p1+2p2 where is the number of laptop computer, is the price of a lap top computer, and P2 is the price of a desktop computer (1) What is the ow-price elasticity of lap top computers? (a) p/ (b) - 4p/9 (e) -49/7 (d) 49/PL (2) What is the crow price elasticity of laptop computers? (a) 21/4 (b) Pula (c) 2p/ (d) -2pa/ (3) Are laptop computers and desktop...

100 3. The demand curve for a commodity is given by q-Show that the price at...

100 3. The demand curve for a commodity is given by q-Show that the price at which revenue is maximised is also equal to the price at which the demand for the product is unitary elastic. Given that price elasticity of demand E(p) can be found using the formula E(p)=-÷ de and unitaryelasticityoccurs where lE(p)1=1
4 (20pts) Demand for a large box of Fancy" cat litter is given by Q a. Find the price elasticity ...

4 (20pts) Demand for a large box of Fancy" cat litter is given by Q a. Find the price elasticity of demand for Fancy cat litter. (Spts) - 100 -3P. Currently, the price is $20. c. Fancy Cat Litter Company wants to increase the price to $30 in the hopes of increasing their revenues. Would this strategy be successful? Show and explain in detail. (10pts) (Hint: Find the change in TR, relate it to the elasticity) 4 (20pts) Demand for...
Just answer C and D. Please thanks 5) The graph below shows the demand curve for...

Just answer C and D. Please thanks 5) The graph below shows the demand curve for Wine. The demand equation for Wine is also given Wine QD = 120-10P QD a) Find the price and quantity intercepts. Show work and label both on the graph above lop=120 Demond, int ; 0.1 b) Calculate the price elasticity of demand between the following prices, P 2 and P elasticity formula is appropriate 4. Explain which EP (0-100 1o (L -2 U12) eemul

The demand is given by P = 100 – 2Q, where P is the price and...

The demand is given by P = 100 – 2Q, where P is the price and Q is the quantity demanded. Find the price at which the own-price elasticity is – 2.
Please answer with explanation Suppose a consumer has demand function given by: (P.P.m) = 100 -...

Please answer with explanation Suppose a consumer has demand function given by: (P.P.m) = 100 - 2px +3p, + 10m. Suppose that Px = 6,Py = 4, m = 14. The cross-price elasticity of good x is: Find own-price elasticity of good x. 16. Find cross-price elasticity of good X. 1c. is good x a normal or inferior good? Briefly explain in one or two sentences. 1d. Suppose now Pa = 4, y = 6, m = 14. Is good...
Elasticity Assume a firm faces a demand of: Q = 100 - P A. Find the...

Elasticity Assume a firm faces a demand of: Q = 100 - P A. Find the corresponding MR equation, draw both in a diagram. B. Find the point elasticity at P=50, show your work, identify in your diagram the areas (ranges) where the demand is elastic and inelastic. C. Why is P= 50 the point where Total revenue is maximized?

#1 The market ties are competitive and demand is given by P=210-Q. If supply is given...

#1 The market ties are competitive and demand is given by P=210-Q. If supply is given by P=2Q, what will be the price in this market and what quantity? #2 Suppose that the administration requires all of its faculty and students to wear new ties every day. Draw a supply and demand graph of this situation indicating what will happen to the market price and quantity for the ties. Why does the price change in this market? #3 When P=5, quantity...