Q. A manufacturer faces price elasticity of demand of a -2 for its product. If it lowers its price by 5%, the increase in quantity sold will be
A) 10%
B) 3%
C) 7%
D) 2.50%
✔ Correct Answer: 10%
Exam Insight
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A) 10%
B) 3%
C) 7%
D) 2.50%
✔ Correct Answer: 10%
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