(a) Explanation Given information: The demand equation for certain product is 2 x + 5 p − 60 = 0 , where p is the unit price and x is the quantity demanded of the product. Definition used: 1. Let f is a demand function defined as x = f ( p ) and the function f is differentiable, then the elasticity of demand at price p is defined as, E ( p ) = − p f ′ ( p ) f ( p ) (1) 2. The demand is said to be elastic if E ( p ) > 1 , the demand is said to be unitary if E ( p ) = 1 and the demand is said to be inelastic if E ( p ) < 1 . Calculation: The given expression is 2 x + 5 p − 60 = 0 . Write the above equation as a function of p , the expression becomes, 2 x = 60 − 5 p ( Add 60 − 5 p both sides ) x = 30 − 2.5 p ( Divide both sides by 2 ) So, the function f ( p ) becomes, f ( p ) = 30 − 2 (b) To determine The elasticity of demand and the type of demand for p = 6 . (c) To determine The elasticity of demand and the type of demand for p = 9 .

Applied Calculus for the Managerial, Life, and Social Sciences

10th Edition

ISBN: 9781305887831

Author: Tan

Publisher: CENGAGE CO

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Chapter 3, Problem 69RE

(a)

To determine

The elasticity of demand and the type of demand for p=3 .

(b)

To determine

The elasticity of demand and the type of demand for p=6 .

(c)

To determine

The elasticity of demand and the type of demand for p=9 .

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Chapter 3, Problem 68RE

Chapter 3, Problem 70RE

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Chapter 3 Solutions

Applied Calculus for the Managerial, Life, and Social Sciences

Ch. 3.1 - State the following rules of differentiation in...Ch. 3.1 - Prob. 2CQ Ch. 3.1 - Prob. 3CQ Ch. 3.1 - Prob. 4CQ Ch. 3.1 - Prob. 1E Ch. 3.1 - Prob. 2E Ch. 3.1 - Prob. 3E Ch. 3.1 - Prob. 4E Ch. 3.1 - Prob. 5E Ch. 3.1 - Prob. 6E

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The elasticity of demand and the type of demand for p = 3 .

Solution Summary: The author explains the elasticity of demand and the type of demands for p=3. The demand equation for certain product is 2x+5p-60=0.

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The elasticity of demand and the type of demand for p=3 .

The elasticity of demand and the type of demand for p=6 .

The elasticity of demand and the type of demand for p=9 .

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Chapter 3 Solutions