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Standard IX

Mathematics

Frequency Table

A consumer bu...

Question

A consumer buys $18$ units of a good at a price of $R s . 9$ per unit. The price elasticity of demand for the good is $(-) 1$ . How many units the consumer will buy at a price of $R s . 10$ per unit? Calculate.

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Solution

Given, $P = R s . 9; P_{1} = R s . 10; △ P = P_{1} - P = R s . 10 - R s . 9 = R s . 1$
$Q = 18 u n i t s; Q_{1} = ?$
$E_{d} = (-) 1$
Price elasticity of demand $(E_{d}) = \frac{P}{Q} \times \frac{△ Q}{△ P}$
$- 1 = \frac{9}{18} \times \frac{△ Q}{1}$
$△ Q = - 2$
Now, $△ Q = Q_{1} - Q$
$- 2 = Q_{1} - 18$
$Q_{1} = 18 - 2 = 16$
Consumer will buy $16$ units at a price of $R s . 10$ per unit.

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A consumer buys 18 units of a good at a price of Rs.9 per unit. The price elasticity of demand for the good is (−)1. How many units the consumer will buy at a price of Rs.10 per unit? Calculate.

Given, P=Rs.9;P1=Rs.10;△P=P1−P=Rs.10−Rs.9=Rs.1Q=18 units;Q1=?Ed=(−)1Price elasticity of demand (Ed)=PQ×△Q△P−1=918×△Q1△Q=−2Now, △Q=Q1−Q−2=Q1−18Q1=18−2=16Consumer will buy 16 units at a price of Rs.10 per unit.

A consumer buys $18$ units of a good at a price of $R s . 9$ per unit. The price elasticity of demand for the good is $(-) 1$ . How many units the consumer will buy at a price of $R s . 10$ per unit? Calculate.