Which of the following types of fit should be selected in Excel's Trendline function if a constant elasticity curve is to be used to model demand
A) Exponential
B) Logarithmic
C) Polynomial
D) Power

Question

Which of the following types of fit should be selected in Excel's Trendline function if a constant elasticity curve is to be used to model demand
A) Exponential 
B) Logarithmic 
C) Polynomial 
D) Power

Quizplus · Accepted Answer

The Power trendline option in Excel is suitable for modeling equations where the rate of change increases or decreases sharply at different points along the curve, which is characteristic of constant elasticity curves in demand modeling. This option reflects a relationship where a variable changes at a constant rate relative to another.

Which of the Following Types of Fit Should Be Selected