# When the price of a bar of chocolate is $1.00, the quantity demanded is 100,000 bars. When the price rises to$1.50, the quantity demanded falls to 60,000 bars. Calculate the price elasticity of demand using the mid-point method. Instructions: Round your answers to two decimal places. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. a. Suppose the price increases from $1.00 to$1.50. The price elasticity of demand is: -1.25 . b. Suppose t

###### Question:

When the price of a bar of chocolate is $1.00, the quantity demanded is 100,000 bars. When the price rises to$1.50, the quantity demanded falls to 60,000 bars. Calculate the price elasticity of demand using the mid-point method. Instructions: Round your answers to two decimal places. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. a. Suppose the price increases from $1.00 to$1.50. The price elasticity of demand is: -1.25 . b. Suppose the price decreases from $1.50 to$1.00. The price elasticity of demand is: -1.25 .

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