Question

Price elasticity of a demand of a good is -1. When it's price per unit falls by one ruppe ,it's demand rises from 16 to 18 units calculate the price before change

Answer 1

Answer:

I think it's ₹8/-

Explanation:

PED = ∆Q/∆P*P1/Q1

ped is 01

change in price ∆p = one rupee

change in Quantity ∆q = 18 - 16 = 2

and Q1 = 16 Q2 = 18

if we put this

1 = 2/1*P/16

P = 8