The Supply function is given as q = 120 - 6p. Find the elasticity of supply, when price is 10.

CA Foundation · Business Economics · PYQS · January 2025
The Supply function is given as q = 120 - 6p. Find the elasticity of supply, when price is 10.
(A) A. +1/3
(B) B. +2/3
(C) C. -2/3
(D) D. +3/4

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. +2/3

Topics: Theory of Demand and Supply

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