A correct formula (dropping all minus signs) for the calculation of the elasticity of demand between point Q₁, P₁ and point Q₂, P₂ is
A) [(P₂ -P₁) /(P₂ + P₁) ]/[(Q₂ - Q₁) /(Q₂ + Q₁) ].
B) [(P₂ - P₁) /P₁]/[(Q₂- Q₁) /Q₁].
C) [(Q₂ - Q₁) /(Q₂ + Q₁) ]/[(P₂ - P₁) /(P₂ + P₁) ].
D) [(Q₂ - Q₁) /Q₂) ]/[(P₂ - P₁) /P₂].
Correct Answer:
Verified
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