1. Quantity supplied of a product at Rs. 8 Per unit is 200 Units . If the price elasticity of supply is 1.5 , what will be the quantity supplied at Rs. 10 Per unit ? Answer : 275 Explanation: Price elasticity of supply = (% change in quantity supplied /% Change in Price ) 1.5 = ( (x-200)*100/200) / (10-8)*100/8 ) 1.5 = ( (x-200)/2 ) / (200/8 ) 1.5 = ( (x-200)/2 ) / 25 1.5 = (x-200) / 50 75 = x-200 x = 75+200 x = 275
2. Real Sector Policy means focus on............ in the early stages of reform process. Answer : Manufacturing Sector
3. Ends refers to .......... Answer : Wants
4. The technique of production where machinery is used more than human force is called ............. Answer : Capital Intensive
5. In Demand Curve , Quantity and Prices are..................... related . Answer : Inversely