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Chapter 6: ELASTICITY AND DEMAND
c. MR = 4,000 − 200P
d. MR = 20 − 0.01Q
e. MR = 20 − 200Q
6-63 Refer to the following figure. When quantity demanded is 1,000, what is marginal revenue?
a. $15
b. $7.50
c. 0
d. $10
e. −$10
Chapter 6: ELASTICITY AND DEMAND
6-64 Refer to the following figure. When price is $10 and quantity demanded is 2,000, what is the
point elasticity of demand?
a. −3
b. −1/3
c. −1
d. −5
e. −2/3
6-65 Refer to the following figure. When quantity demanded is 2,000, what is marginal revenue?
a. $12
b. $15
Chapter 6: ELASTICITY AND DEMAND
c. 0
d. $10
e. −$10
6-66 Refer to the following figure. When price is $5 and quantity demanded is 3,000, what is the point
elasticity of demand?
a. −3
b. −1/3
c. −1
d. −5
e. −2/3
Chapter 6: ELASTICITY AND DEMAND
6-67 Refer to the following figure. When quantity demanded is 3,000, what is marginal revenue?
a. $12
b. $15
c. 0
d. $10
e. −$10
Chapter 6: ELASTICITY AND DEMAND
6-68 Refer to the following figure. The point elasticities of demand for D1, D2, and D3 at a price of $5
are ________, ________, and _______, respectively.
a. −1.4; −0.2; −1.4
b. −0.71; −5; −0.71
c. −1.4; −0.2; −5
d. −12; −6; −12
e. −0.0833; −0.1667; −0.0833
Chapter 6: ELASTICITY AND DEMAND
6-69 Refer to the following figure. At what prices are demand curves D1, D2, and D3 unitary elastic?
a. $5; $5; $5; respectively
b. $17; $6; $5; respectively
c. $6; $3; $6; respectively
d. $1; $1; $1; respectively
Chapter 6: ELASTICITY AND DEMAND
6-70 Refer to the following figure. At a price of $10, the point elasticity of demand for D3 is ________
and marginal revenue is _______.
a. −5; positive
b. −0.5; negative
c. −0.2; negative
d. −1; zero
Chapter 6: ELASTICITY AND DEMAND
6-71 Refer to the following figure. At a price of $1, the point elasticity of demand for D2 is ________
and marginal revenue is _______.
a. −5; positive
b. −0.5; negative
c. −0.2; negative
d. −1; zero
Chapter 6: ELASTICITY AND DEMAND
6-72 Refer to the following figure. At a price of $6, the point elasticity of demand for D1 is ________
and marginal revenue is _______.
a. −5; positive
b. −0.5; negative
c. −0.2; negative
d. −1; zero
6-73 According to the following figure, the equation for demand is
a. P = 4,000 − 50Q.
b. P = 4,000 − 80Q.
c. Q = 4,000 − 50P.
d. Q = 50 − 80P.
Chapter 6: ELASTICITY AND DEMAND
e. none of the above
6-74 According to the following figure, the equation for marginal revenue is
a. MR = 50 − 0.025Q.
b. MR = 4,000 − 2,000Q.
c. MR = 4,000 − 100Q.
d. MR = 50 − 160Q.
e. none of the above
6-75 According to the following figure, demand is unitary elastic at P = $________.
a. 5
b. 10
c. 15
d. 20
e. 25
Chapter 6: ELASTICITY AND DEMAND
6-76 According to the following figure, marginal revenue is zero at Q = ________.
a. 1,000 units
b. 2,000 units
c. 3,000 units
d. 4,000 units
e. none of the above
6-77 Suppose the demand for good X is
Q=500P-1
. This demand curve has a ________ (constant,
variable) elasticity of demand equal to ________.
a. variable; −0.5
b. constant; −0.2
c. constant; −1
d. variable; −2
