Suppose the Current Price of Barley Is $7 Per Bushel

Multiple Choice

Suppose the current price of barley is $7 per bushel and at that price 100,000 bushels are grown by a Colorado farmer.If the price of barley rises to $8 and quantity supplied increases to 130,000 bushels,then using the midpoint method,the price elasticity of supply for barley equals

A) 13.33.
B) 26.78.
C) 1.96.
D) 0.51.
E) zero.