Question: As the price for a particular product changes, the quantity of the product demanded changes according to the following schedule: Total quantity demanded Price per

As the price for a particular product changes, the quantity of the product demanded changes according to the following schedule:

Total quantity demanded Price per unit 100 $50 150 45 200 40 225 35 230 30 232 25 Using the arc method, the price elasticity of demand for this product when the price decreases from $40 to $35 is

a. 0.20

b. 0.88

c. 10.00

d. 5.00

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