Which One of the Following Situations Gives a Price Elasticity

Multiple Choice

Which one of the following situations gives a price elasticity of demand of 5.0? A 10 percent rise in price is accompanied by a

A) 2 percent increase in quantity demanded.
B) 5 percent decrease in quantity demanded.
C) 2 percent decrease in quantity demanded.
D) 50 percent decrease in quantity demanded.
E) 50 percent increase in quantity demanded.