Question 1

Use the graph below to answer the following questions:
  
-The elasticity of demand at a price of $12 is _________.

Accepted Answer

-1.50

Question 2

refer to the following figure:
‪  
-Marginal revenue is zero at Q = ________.

Accepted Answer

A)  1,000 units 
B)  2,000 units 
C)  3,000 units 
D)  4,000 units 
E)  none of the above 
A)  1,000 units 
B)  2,000 units 
C)  3,000 units 
D)  4,000 units 
E)  none of the above B

Question 3

Fill in the blanks.
-When a change in price causes a change in quantity demanded, total revenue always moves in the ____________ direction as the variable (P or Q) having the _____________ effect.

Accepted Answer

same; dominant

Question 4

Use the figure to calculate the income elasticity of demand when income increases from $25,000 to $30,000:

Accepted Answer

A)  -0.10 
B)  -1.10 
C)  0.1818 
D)  0.20 
E)  1.10 
A)  -0.10 
B)  -1.10 
C)  0.1818 
D)  0.20 
E)  1.10

Question 5

Use the linear demand curve shown below to answer the following questions.
   The point elasticity of demand at a price of $650 is _________.
-The point elasticity of demand at a price of $220 is _________.

Accepted Answer

The answer of Use the linear demand curve shown below...

Question 6

Suppose the demand for good X is
 .This demand curve has a ________ (constant, variable) elasticity of demand equal to ________.

Accepted Answer

A)  variable; -0.5 
B)  constant; -0.2 
C)  constant; -1 
D)  variable; -2 
A)  variable; -0.5 
B)  constant; -0.2 
C)  constant; -1 
D)  variable; -2

Question 7

refer to the following table showing a demand schedule:
  
-When the price of corn dogs is $0.50, 10,000 corn dogs are demanded. When the price of corn dogs is $1.20, 5,000 are demanded. What is the price elasticity of demand for corn dogs?

Accepted Answer

A)  -0.40 
B)  -0.81 
C)  -1.20 
D)  -1.40 
A)  -0.40 
B)  -0.81 
C)  -1.20 
D)  -1.40

Question 8

Use the linear demand curve shown below to answer the following questions.
   The point elasticity of demand at a price of $650 is _________.
-The point elasticity of demand at a price	 of $650 is _________.

Accepted Answer

The answer of Use the linear demand curve shown below...

Question 9

refer to the following figure:
  
-In the figure above, what is the point price elasticity of demand when price is $40?

Accepted Answer

A)  -0.50 
B)  -0.75 
C)  -1.00 
D)  -1.50 
E)  -2.00 
A)  -0.50 
B)  -0.75 
C)  -1.00 
D)  -1.50 
E)  -2.00

Question 10

Fill in the blanks.
-If price rises and total revenue stays the same, demand must be ____________________.

Accepted Answer

The answer of Fill in the blanks.
-If price rises and...

Question 11

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.)
-"A 4 percent increase in the number of jets sold will require a 5 percent decrease in the price of jets."

Accepted Answer

A) True 
 B)False

Question 12

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.)
-"A 5 percent decrease in the price of jets will increase Boeing's total revenue."

Accepted Answer

A) True 
 B)False

Question 13

In the graph shown below, the demand for good X shifts due to a change in the price of a related good Y. Holding the price of good X constant at $200, answer the following questions:
  
-The graph shows how the demand for X shifts when the price of related good Y decreases from $120 to $100. Using the information in the graph, the cross-price elasticity of
 demand for X and Y is calculated to be _________.

Accepted Answer

The answer of In the graph shown below, the demand...

Question 14

refer to the following table showing a demand schedule:
  
-If price falls from $150 to $100, what is the elasticity of demand over this range?

Accepted Answer

A)  -0.625 
B)  -1.0 
C)  -1.17 
D)  -2.5 
E)  -3.0 
A)  -0.625 
B)  -1.0 
C)  -1.17 
D)  -2.5 
E)  -3.0

Question 15

refer to the following figure:
  
-The maximum possible total revenue is $_________.

Accepted Answer

A)  10,500 
B)  11,000 
C)  11,500 
D)  12,000 
E)  12,500 
A)  10,500 
B)  11,000 
C)  11,500 
D)  12,000 
E)  12,500

Question 16

Fill in the blanks.
-When demand is unitary elastic, ___________ effect dominates.

Accepted Answer

The answer of Fill in the blanks.
-When demand is unitary...

Question 17

refer to the following graph:
  
-The price elasticity of demand over the price interval $90 to $110 is

Accepted Answer

A)  -0.5 
B)  -1.0 
C)  -1.5 
D)  -2.0 
E)  -0.4 
A)  -0.5 
B)  -1.0 
C)  -1.5 
D)  -2.0 
E)  -0.4

Question 18

E1 is demand elasticity for Minute Maid orange juice, E2 is demand elasticity for all orange juice, and E3 is demand elasticity for all fruit drinks. Then

Accepted Answer

A)  |E1| > |E2| > |E3| 
B)  |E2| > |E3| > |E1| 
C)  |E3| > |E1| > |E2| 
D)  |E3| > |E2| > |E1| 
A)  |E1| > |E2| > |E3| 
B)  |E2| > |E3| > |E1| 
C)  |E3| > |E1| > |E2| 
D)  |E3| > |E2| > |E1|

Question 19

refer to the following table showing a demand schedule:
  
-If price falls from $200 to $150, what is the elasticity of demand over this range?

Accepted Answer

A)  -0.625 
B)  -1.0 
C)  -1.17 
D)  -2.5 
E)  -3.0 
A)  -0.625 
B)  -1.0 
C)  -1.17 
D)  -2.5 
E)  -3.0

Question 20

Use the figure below to answer the following questions:
  
-The elasticity of demand over the price interval $7 to $5 is __________.

Accepted Answer

The answer of Use the figure below to answer the...

Use the graph below to answer the following questions: -The elasticity of demand at a price of $12 is _________.

refer to the following figure: ‪ -Marginal revenue is zero at Q = ________.

Fill in the blanks. -When a change in price causes a change in quantity demanded, total revenue always moves in the direction as the variable (P or Q) having the _ effect.

Use the figure to calculate the income elasticity of demand when income increases from $25,000 to $30,000:

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _. -The point elasticity of demand at a price of $220 is _.

Suppose the demand for good X is .This demand curve has a (constant, variable) elasticity of demand equal to .

refer to the following table showing a demand schedule: -When the price of corn dogs is $0.50, 10,000 corn dogs are demanded. When the price of corn dogs is $1.20, 5,000 are demanded. What is the price elasticity of demand for corn dogs?

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _. -The point elasticity of demand at a price of $650 is _.

refer to the following figure: -In the figure above, what is the point price elasticity of demand when price is $40?

Fill in the blanks. -If price rises and total revenue stays the same, demand must be ____________________.

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.) -"A 4 percent increase in the number of jets sold will require a 5 percent decrease in the price of jets."

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.) -"A 5 percent decrease in the price of jets will increase Boeing's total revenue."

refer to the following table showing a demand schedule: -If price falls from $150 to $100, what is the elasticity of demand over this range?

refer to the following figure: -The maximum possible total revenue is $_________.

Fill in the blanks. -When demand is unitary elastic, ___________ effect dominates.

refer to the following graph: -The price elasticity of demand over the price interval $90 to $110 is

E₁ is demand elasticity for Minute Maid orange juice, E₂ is demand elasticity for all orange juice, and E₃ is demand elasticity for all fruit drinks. Then

refer to the following table showing a demand schedule: -If price falls from $200 to $150, what is the elasticity of demand over this range?

Use the figure below to answer the following questions: -The elasticity of demand over the price interval $7 to $5 is __________.

Managers, Profits, and Markets

Demand, Supply, and Market Equilibrium

Marginal Analysis for Optimal Decision Making

Basic Estimation Techniques

Theory of Consumer Behavior

Demand Estimation and Forecasting

Production and Cost in the Short Run

Production and Cost in the Long Run

Production and Cost Estimation

Managerial Decisions in Competitive Markets

Managerial Decisions for Firms With Market Power

Strategic Decision Making in Oligopoly Markets

Advanced Techniques for Profit Maximization

Decisions Under Risk and Uncertainty

Government Regulation of Business

Filters

Exam 6: Elasticity and Demand

Use the graph below to answer the following questions: -The elasticity of demand at a price of $12 is _________.

refer to the following figure: ‪ -Marginal revenue is zero at Q = ________.

Fill in the blanks. -When a change in price causes a change in quantity demanded, total revenue always moves in the ____________ direction as the variable (P or Q) having the _____________ effect.

Use the figure to calculate the income elasticity of demand when income increases from $25,000 to $30,000:

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _________. -The point elasticity of demand at a price of $220 is _________.

Suppose the demand for good X is .This demand curve has a ________ (constant, variable) elasticity of demand equal to ________.

refer to the following table showing a demand schedule: -When the price of corn dogs is $0.50, 10,000 corn dogs are demanded. When the price of corn dogs is $1.20, 5,000 are demanded. What is the price elasticity of demand for corn dogs?

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _________. -The point elasticity of demand at a price of $650 is _________.

refer to the following figure: -In the figure above, what is the point price elasticity of demand when price is $40?

Fill in the blanks. -If price rises and total revenue stays the same, demand must be ____________________.

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.) -"A 4 percent increase in the number of jets sold will require a 5 percent decrease in the price of jets."

Boeing estimates the elasticity of demand for new commercial jets is -1.25. Explain why the following statements are either true or false (i.e., state whether true or false and explain why.) -"A 5 percent decrease in the price of jets will increase Boeing's total revenue."

refer to the following table showing a demand schedule: -If price falls from $150 to $100, what is the elasticity of demand over this range?

refer to the following figure: -The maximum possible total revenue is $_________.

Fill in the blanks. -When demand is unitary elastic, ___________ effect dominates.

refer to the following graph: -The price elasticity of demand over the price interval $90 to $110 is

E1 is demand elasticity for Minute Maid orange juice, E2 is demand elasticity for all orange juice, and E3 is demand elasticity for all fruit drinks. Then

refer to the following table showing a demand schedule: -If price falls from $200 to $150, what is the elasticity of demand over this range?

Use the figure below to answer the following questions: -The elasticity of demand over the price interval $7 to $5 is __________.

Managers, Profits, and Markets

Demand, Supply, and Market Equilibrium

Marginal Analysis for Optimal Decision Making

Basic Estimation Techniques

Theory of Consumer Behavior

Demand Estimation and Forecasting

Production and Cost in the Short Run

Production and Cost in the Long Run

Production and Cost Estimation

Managerial Decisions in Competitive Markets

Managerial Decisions for Firms With Market Power

Strategic Decision Making in Oligopoly Markets

Advanced Techniques for Profit Maximization

Decisions Under Risk and Uncertainty

Government Regulation of Business

Filters

Fill in the blanks. -When a change in price causes a change in quantity demanded, total revenue always moves in the direction as the variable (P or Q) having the _ effect.

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _. -The point elasticity of demand at a price of $220 is _.

Suppose the demand for good X is .This demand curve has a (constant, variable) elasticity of demand equal to .

Use the linear demand curve shown below to answer the following questions. The point elasticity of demand at a price of $650 is _. -The point elasticity of demand at a price of $650 is _.

E₁ is demand elasticity for Minute Maid orange juice, E₂ is demand elasticity for all orange juice, and E₃ is demand elasticity for all fruit drinks. Then