Question

Price changes from $Rs.6$ to $Rs.4$ and the quantity demanded changes from $3$ to $8$, Elasticity of demand is _________.

• A. $5$
• B. $1$
• C. $0.2$
• D. Zero

Answer 1

The correct option is A $5$

$E_d=\frac{△q}{△p}\times \frac{p}{q}$
$△q$ = 8 - 3 = 5;
$△p$ = 6 - 4 = 2

$E_d=\frac{5}{2}\times \frac{6}{3}=5$.