Q12 of 38 Page 1

When price of a commodity X falls by 10%, its demand rises from 150 units to 180 units. Calculate its price elasticity of demand. How much should be the percentage fall in its price so that its demand rises from 150 to 210 units?

Change in quantity demanded (ΔQ) = 30 units

Percentage change in quantity demanded =


If Percentage change in price = 10%




Now, according to the given information in the question,


Change in quantity demanded (ΔQ) = 60 units


Percentage change in quantity demanded



Ed = 2



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