The Demand for Answering Machines Is Q = 1,000 -

Multiple Choice

The demand for answering machines is Q = 1,000 - 150P + 25I.Assume that per capita disposable income I is $200.When the price of answering machines is P = $10,the price elasticity of demand is:

A) -3.0.
B) -3.33.
C) -1.33.
D) -0.33.
E) -1.0.