Question

A consumer buys 40 unit of good At a price 5 per unit supoose that elasticity of demand (-)2 at what price will buy 32 unit

Answer 1

Explanation:

First price-5 RS

first quantity brought-40

now, change quantity-32

let change price be X

then,

we know that Ed=∆Q/∆P×P/Q

when u put the values then u will get 7rs per units.