Economics 9708 · AS & A Level · Price elasticity of supply

Price elasticity of supply — practice question

A good’s supply function may be expressed as Q = 2P + 10, in which Q denotes the quantity supplied in kilos and P denotes the price per kilo in dollars. The price increases from $10 to $15 per kilo. The value of price elasticity of supply for this price increase falls within a range from

  • A6/1 to 4/1
  • B8/3 to 2/1
  • C3/2 to 4/3
  • D1 4/1 to 1 2/1

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