Find the price-quantity and price elasticity of demand

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Reference no: EM1315570

The Wozniak Corporation, a maker of aircraft engines, determines that in 2008 the demand curve for its product is as follows:

P = 2,000 - 50Q

Where P is the price (in dollars) of an engine, and Q is the number of engines sold per month

a) To sell 20 engines per month, what price would Wozniak Corporation have to charge?

b) If it sets a price of $500, how many engines will Wozniak sell per month?

c) What is the price elasticity of demand if price equals $500?

d) At what price, if any, will the demand for Wozniak's engines be of unitary elastic?

Reference no: EM1315570

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