Economics FYBCOM Chapter- 1 and 2

Time: 1 Hr 15 mins
Marks: 30

Total

4. Explain a detailed note on Promotional

elasticity.

Q 1) Fill in the blanks:

5
1. Concept of elasticity of demand was given by ___.
2. The demand for necessity is _____.
3. There is _____ relationship between demand and
price.
4. Geometric method of measuring the elasticity
measures ______ on the demand curve.
5. _____ Elasticity of demand measures the
advertisement expenses effect on sales.
Q 2) True or false: (Correct if statement if wrong)
4
1. Income elasticity measures the negative
relationship between income and price.
2. Demand for the habits is relatively inelastic.
Q 2) Distinguish between: (Any 2)
6
1. Income elasticity and price elasticity.
2. Cross elasticity and income elasticity
3. Total outlay method and price method.
Q 3) Answer in detail: (any 3)
15
1. What is elasticity of demand and what are the
determinants of it?
2. What are the methods of measuring price
elasticity of demand?
3. What is cross elasticity and what are the types?

Economics FYBCOM Chapter- 1 and 2

Time: 1 Hr 15 mins
Marks: 30

Total

Q 1) Fill in the blanks:

5
1. Concept of elasticity of demand was given by ___.
2. The demand for necessity is _____.
3. There is _____ relationship between demand and
price.
4. Geometric method of measuring the elasticity
measures ______ on the demand curve.
5. _____ Elasticity of demand measures the
advertisement expenses effect on sales.
Q 2) True or false: (Correct if statement if wrong)
4
1. Income elasticity measures the negative
relationship between income and price.
2. Demand for the habits is relatively inelastic.
Q 2) Distinguish between: (Any 2)
6
1. Income elasticity and price elasticity.
2. Cross elasticity and income elasticity
3. Total outlay method and price method.

Q 3) Answer in detail: (any 3)

15
1. What is elasticity of demand and what are the
determinants of it?

2. What are the methods of measuring price

elasticity of demand?
3. What is cross elasticity and what are the types?
4. Explain a detailed note on Promotional
elasticity.