00:01
So in this question, we have the demand function for some product, d of p equal to negative 8p plus 162.
00:12
And we're supposed to calculate the elasticity of demand at a price of 6.
00:17
So elasticity of demand is the absolute value of p times the derivative of the demand over the demand.
00:33
And so first of all, we should find the derivative.
00:37
So d prime of p is just going to be negative 8, right? just a simple power rule, so the derivative of p is just one, derivative of 162 is 0.
00:47
All right.
00:48
And then we want to know what the u .s.
00:53
To see 6 is, so we should figure out what d prime of 6 is.
00:58
Well, it's just negative 8, right? it's a constant function.
01:01
But we also need to know what d of 6 is.
01:03
So if we plug six back into the original demand function, we get 114.
01:14
And so our elasticity at six should be six times negative eight, all divided by 114.
01:35
But the absolute value of that, right? so it's absolute value of six times negative eight over 114.
01:46
Which is absolute value of negative 8 over 19, or positive 0 .4 .2105.
01:57
That's my debt.
01:58
The question, you're supposed to round, but i can't read how many decimal places you need...