Question: 12. The demand equation for a good is given by the equation: (Where P is the price and Y is the income). Determine the following:

12. The demand equation for a good is given by the

12. The demand equation for a good is given by the equation: (Where P is the price and Y is the income). Determine the following: = (a). Price elasticity of demand when P. $50 and Y = $1000. (1 mark) (b). Income elasticity of demand when P = $10 and Y = $300. (1 mark) (c). Interpret the results obtained in (i) & (ii) above. (0.5 marks) 12. The demand equation for a good is given by the equation: (Where P is the price and Y is the income). Determine the following: = (a). Price elasticity of demand when P. $50 and Y = $1000. (1 mark) (b). Income elasticity of demand when P = $10 and Y = $300. (1 mark) (c). Interpret the results obtained in (i) & (ii) above. (0.5 marks)

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