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1- Suppose that the price of pizza falls from AED 25 to AED 15 per pizza. The quantity demanded increases from 0 to 20 pizzas. The average price is AED 20 per pizza. Calculate the price Elasticity of Demand.
2- Based on your answer, is the demand for Pizza
Elastic
Inelastic
Unit Elastic
3- The information given is insufficient to answer this question
Suppose that the price falls from AED 15 to AED 10 per pizza. The quantity demanded increases from 20 to 30 pizzas, and the average quantity is 25 pizzas an hour. Calculate the Price Elasticity of Demand.
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