Suppose that your demand schedule for CDs is as follows: Price (Tk.) Quantity Quantity Demanded (Income: Tk. 30000) Demanded (Income: 50000)---------------------------------------------------------------------------------------------------10 32 90 20 16 40 40 8 15 80 4 7 160 2 3 ----------------------------------------------------------------------------------------------------a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000.b) Calculate the income elasticity of demand for CDs when price is 160.c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain. 4. i) Suppose that your demand schedule for CDs is as follows:Price (Tk.) QuantityQuantityDemanded (Income: 50000)Demanded (Income: Tk. 30000)1032902016404015804716023a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000.b) Calculate the income elasticity of demand for CDs when price is 160.c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain.

Here, it the given table, various level of prices, and quantity demanded of CDs at two different…

Suppose that your demand schedule for CDs is as follows: Price (Tk.) Quantity Quantity Demanded (Income: Tk. 30000) Demanded (Income: 50000) --------------------------------------------------------------------------------------------------- 10 32 90 20 16 40 40 8 15 80 4 7 160 2 3 ---------------------------------------------------------------------------------------------------- a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000. b) Calculate the income elasticity of demand for CDs when price is 160. c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain

Suppose that your demand schedule for CDs is as follows: Price (Tk.) Quantity Quantity Demanded (Income: Tk. 30000) Demanded (Income: 50000) --------------------------------------------------------------------------------------------------- 10 32 90 20 16 40 40 8 15 80 4 7 160 2 3 ---------------------------------------------------------------------------------------------------- a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000. b) Calculate the income elasticity of demand for CDs when price is 160. c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Question

Suppose that your demand schedule for CDs is as follows:

Price (Tk.) Quantity Quantity

Demanded (Income: Tk. 30000) Demanded (Income: 50000)

---------------------------------------------------------------------------------------------------

10 32 90

20 16 40

40 8 15

80 4 7

160 2 3

----------------------------------------------------------------------------------------------------

a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000.
b) Calculate the income elasticity of demand for CDs when price is 160.
c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain.

4. i) Suppose that your demand schedule for CDs is as follows:
Price (Tk.) Quantity
Quantity
Demanded (Income: 50000)
Demanded (Income: Tk. 30000)
10
32
90
20
16
40
40
15
80
4
7
160
2
3
a) Calculate the price elasticity of demand for CDs when price increases from 40 to 80 and income is Tk.50000.
b) Calculate the income elasticity of demand for CDs when price is 160.
c) How will the total revenue change when price of CDs decreases and the income is Tk. 30000, explain.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions