Problem

A garden shop determines the demand function q=D(x)=2x+20010x+11 during early summer for tomato plants where q is the number of plants sold per day when the price is x dollars per plant.
(a) Find the elasticity.
(b) Find the elasticity when x=2.
(c) At $2 per plant, will a small increase in price cause the total revenue to increase or decrease?
(a) The elasticity is

Answer

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Answer

Final Answer: The elasticity of the demand function is given by x(10x+11)(10(2x+200)(10x+11)2+210x+11)2x+200

Steps

Step 1 :Given the demand function q=D(x)=2x+20010x+11, where q is the number of plants sold per day when the price is x dollars per plant.

Step 2 :The elasticity of demand is a measure of how much the quantity demanded of a good responds to a change in the price of that good. It is calculated as the percentage change in quantity demanded divided by the percentage change in price.

Step 3 :In this case, the elasticity of demand can be calculated using the formula: Elasticity = (dq/dx)(x/q), where dq/dx is the derivative of the demand function with respect to x, x is the price, and q is the quantity demanded.

Step 4 :First, we calculate the derivative of the demand function with respect to x: dq/dx=10(2x+200)/(10x+11)2+2/(10x+11).

Step 5 :Then, we substitute the values of x, q, and dq/dx into the elasticity formula to get the elasticity of the demand function: x(10x+11)(10(2x+200)/(10x+11)2+2/(10x+11))/(2x+200).

Step 6 :Final Answer: The elasticity of the demand function is given by x(10x+11)(10(2x+200)(10x+11)2+210x+11)2x+200

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