Suppose that during the past year the price of a laptop computer fell from 2950 to 2450. during the same time period consumer sales increased from 43 to 619000 laptops.

The price of elasticity of demand is 2.59

Step-by-step explanation:

* Lets explain how to solve the problem

- During the past year the price of a laptop computer fell from

 $2950 to $2450

- During the same time period consumer sales increased from

 430000 to 619000 laptops

- We need to find the price of elasticity of demand

- The rule of price elasticity is:

  price elasticity = percentage of change in the quantity ÷

  percentage of change in price

* Lets calculate the percentage of change in quantity and the

 percentage of chance in price

∵ The percentage of increasing of quantity = (new - old)/old

∵ New = 619000 and old = 430000

∴ The percentage of increasing of quantity =

   %

∵ The percentage of decreasing of price = (old - new)/old

∵ New = $2450 and old = $2950

∴ The percentage of decreasing of price =

   %

- Lets substitute these values in the equation above

∴ Price of elasticity of demand = 43.95% ÷ 16.95% = 2.59

* The price of elasticity of demand is 2.59

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