Worldwide annual sales on smartphones over a two year period were approximately q=-4p+3,020 million phones at a selling price of $p per phone.(a)obtain a formula for the price elasticity of demanding e.E=_____(b) in one of the years the actual selling price was $305 per phone. What was the corresponding price elasticity of demand?E=_____What would’ve been the resulting annual Revenue?$_____billion Worldwide annual sales of smartphones over a two year period were approximately q = -4p + 3,020 million phones at a selling price of $p per phone.(a) Obtain a formula for the price elasticity of demand E.4PE =(-4P+3020)(b) In one of the years the actual selling price was $305 per phone. Wwhat was the corresponding price elasticity of demand? (Round your answer to two decimal places.)E = 307

The elasticity is the ratio of the percentage change in the quantity demanded because of the…

Answered: Worldwide annual sales on smartphones…

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter5: Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 1.1P: (Calculating Price Elasticity of Demand) Suppose that 50 units of a good are demanded at a price of...

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Worldwide annual sales on smartphones over a two year period were approximately q=-4p+3,020 million phones at a selling price of $p per phone. (a)obtain a formula for the price elasticity of demanding e. E=_____ (b) in one of the years the actual selling price was $305 per phone. What was the corresponding price elasticity of demand? E=_____ What would’ve been the resulting annual Revenue? $_____billion

Worldwide annual sales of smartphones over a two year period were approximately q = -4p + 3,020 million phones at a selling price of $p per phone.
(a) Obtain a formula for the price elasticity of demand E.
4P
E =
(-4P+3020)
(b) In one of the years the actual selling price was $305 per phone. Wwhat was the corresponding price elasticity of demand? (Round your answer to two decimal places.)
E = 307

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