Suppose That the Demand Curve for Compact Disks Is Given

Multiple Choice

Suppose that the demand curve for compact disks is given by P = 600 - Q and that the supply curve is given by P = 0.5Q,where Q is the quantity of compact disks and P is their price.What is the price elasticity of demand at the equilibrium price and quantity?

A) -0.05.
B) -0.02.
C) -0.20.
D) -0.50.
E) -2.00.