Give answer for each of the below mentioned situation. Draw the original

Price (Rs.) Demand (Units)

1000 5000

900 6000

825 6800

700 7500

550 8500

a. Draw the demand curve for the above table.

b. If the store decided to increase the price of its desktop computers from

$825 to $900, the stores sales will fall by how many computers?

c. Find out the elasticity at each demand point.

d. Is the price elasticity of demand elastic, unit elastic, or inelastic?

e. Will the store’s total revenue increase, decrease, or remain unchanged?

Q.2 Give answer for each of the below mentioned situation. Draw the original